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World Bank Group Bans Kenyan Tech Firm Techno Brain Over Fraud in Liberia

Techno-Brain - Founder360

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World Bank Group Bans Kenyan Tech Firm Techno Brain Over Fraud in Liberia

The World Bank Group has banned Kenya-based Techno Brain Limited, an IT-services company for twenty-eight months in connection with collusive and fraudulent practices as part of the Integrated Public Financial Management Reform Project II in Liberia.

Its parent company, United Arab Emirates-based Techno Brain Global FZ-LLC was also given a ten-month debarment.

“The debarments make Techno Brain Kenya and Techno Brain UAE ineligible to participate in projects and operations financed by institutions of the World Bank Group. It is part of a settlement agreement under which the companies acknowledge culpability and responsibility for the underlying sanctionable practices and agree to meet specified corporate compliance conditions as a condition for release from debarment.” the World Bank said in a statement.

Following the initial ten-month debarment, the sanction of Techno Brain UAE will convert to a conditional non-debarment for a period of eighteen months, which means that it will again be eligible to participate in projects and operations financed by institutions of the World Bank Group as long as it complies with its obligations under the settlement agreement.

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The project, since renamed as the Public Financial Management Reforms for Institutional Strengthening project, was designed to improve domestic revenue mobilization systems and strengthen financial control and accountability in public finances. According to the facts of the case, Techno Brain Kenya and Techno Brain UAE engaged in an arrangement to obtain and edit confidential bidding documentation so as to influence the awarding of a contract in their favour.

Techno Brain Kenya was subsequently awarded the contract, even though its bid did not meet tender requirements, thus necessitating a substantial reduction in the extent of work provided under the contract.

Furthermore, Techno Brain Kenya, guided by Techno Brain UAE, claimed technical qualifications of sister companies as its own to meet contract specifications. These actions are considered collusive and fraudulent practices, respectively, as defined by the World Bank’s Procurement Regulations.

The settlement agreement provides for a reduced period of sanction in light of the company’s cooperation and voluntary remedial actions.

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