Date: May 2020

In May 2020, the World Bank sanctioned the Chinese firm, Liaoning-EFACEC Electrical Equipment Company Limited (LEEEC) for fraudulent activities.

The activities were related to the contract acquisition of a hydro-electricity transmission and distribution enhancement project in Lusaka implemented by Zambia Electricity Supply Corporation Limited (ZESCO). According to the World Bank, LEEEC failed to disclose a conflict of interest and misrepresented its past contract experience to meet the contract requirements under the project.

The World Bank suspended LEEEC for a 20-month period disqualifying it from engaging in projects funded by the World Bank. The company, in adherence to the settlement, committed to voluntary corrective measures. These included the establishment of an integrity compliance initiative and collaborating with the World Bank in matters concerning integrity compliance.

Related Cases:

• The World Bank has debarred another Chinese firm over procurement misconduct
• A French company was debarred by The World Bank in connection to improper payment involving A Zambian government official