World Bank bars Siemens’ division for 4 years

By: Staff | December 1, 2009 | | No Comments

vIndianz.com (Dec. 01, 2001) — The World Bank has said it has disqualified a Russian subsidiary of Germany’s Siemens from participating in bank projects for the next four years, citing confirmation of scam and corruption.

worldbankLimited Liability Company Siemens (000 Siemens) was barred effective November 25 “for having engaged in deceitful and dishonest practices in relation to a World Bank-financed project,” the Washington-based institution said.

The act came after a World Bank inquiry into corrupt practices under the progress lender-financed transportation project in Russia, the Moscow Urban Transport Project, and besieged violations the Siemens unit committed prior to 2007, the bank said.

The World Bank announced in July an all-inclusive resolution with Siemens AG after the German company accepted earlier period misconduct in its worldwide business.

Under the agreement, Siemens settled to pay $100 million over the next 15 years to maintain anti-corruption work and a intentional two-year shut-out from bidding on World Bank business for the group all of its consolidated subsidiaries and affiliates, through December 31, 2010.

The agreement included the four-year banning for 000 Siemens.

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