NAIROBI, Kenya, Mar 18 — The World Bank Group on Wednesday announced a 21-month debarment, with conditional release, of Pricewaterhouse Coopers in Mauritius, Kenya, and Rwanda for collusive and fraudulent practices in Ethiopia.
The sanctions relate to the Eastern Electricity Highway Project, part of the First Phase of the Eastern Africa Power Integration Program, a regional initiative aimed at increasing electricity supply in Kenya while generating revenue for Ethiopia through power exports.
According to the World Bank, the PwC units obtained confidential procurement information from project officials in 2019 to improperly influence the award of a consultancy services contract for implementing International Financial Reporting Standards (IFRS) at the Ethiopian Electric Power Corporation.
The firms also attempted to sway the award of a fixed asset inventory and revaluation contract for the Ethiopian Electric Utility.
“During the selection and execution of the EEU FAIR Contract, PwC Associates misrepresented the availability, qualifications, and employment status of key experts, and failed to fully disclose all subconsultants,” the World Bank said Wednesday.
“This conduct constitutes collusive and fraudulent practices under the Bank Group Consultant Guidelines.”
The debarment prohibits the three companies, and any affiliates they control, from participating in World Bank-financed projects.
The move follows a settlement in which the firms admitted culpability and agreed to remedial actions, including internal investigations, staff training, and strengthening integrity compliance programs.
Conditional release from the debarment will require full implementation of these measures.
PricewaterhouseCoopers Africa Limited, which coordinates PwC network firms in Africa, signed the agreement as a non-sanctioned party due to its oversight role.
The World Bank also noted that the debarment may be enforced by other multilateral development banks, under a 2010 agreement on mutual recognition of sanctions.