Common Financial Scams in Guyana: IDB Blacklists Three Locals for Fraudulent Practices
Introduction
Kaieteur News has uncovered that three Guyanese individuals and two companies linked to them remain on the Inter-American Development Bank’s (IDB) blacklist years after they were first sanctioned by the regional financial institution.
Background
In 2018, eight local firms and individuals were listed for fraudulent and collusive practices. The trio still on the list are Vevakanand Dalip, Sabrina Mary Williams, and Abel Khemraj Rai. Notably, Dalip’s firm is also on the list, as well as a company with connections to Rai.
IDB Sanctions
The IDB has debarred:
- Vevakanand Dalip and his company for 13 years (December 29, 2017 to December 28, 2030) for fraud and collusion.
- Sabrina Mary Williams for the same period (December 29, 2017 to December 28, 2030).
- Abel Khemraj Rai for fraud and collusion, with a removal date set for next year.
- Sidrai Enterprises, linked to Rai, has been debarred for collusion from June 30, 2016 to June 29, 2024.
Reasons for Sanctions
According to the IDB, Dalip, Williams, and Rai were sanctioned for engaging in fraudulent and collusive practices that are prohibited by the IDB Group’s Sanctions Procedures and anti-corruption policies.
Consequences of Debarment
Importantly, debarred firms or individuals are ineligible to participate in any IDB-financed contracts during their periods of debarment. Ineligibility may also extend to companies controlled by the debarred individual or firm.
Public Procurement Commission
The trio, along with V. Dalip Enterprise and Sidrai Enterprises, were listed on a circular from Guyana’s Public Procurement Commission (PPC) advising that no contract should be awarded to an entity that has been debarred.
Recent Development
Interestingly, V. Dalip Enterprise was recently awarded a $889 million contract by the Ministry of Housing and Water for the completion of Lot 2 of the Eccles to Great Diamond four-lane highway.
Concerns and Call for Action
This revelation raises concerns about the prevalence of financial scams in Guyana and the need for stricter regulations to prevent such fraudulent practices. The PPC, established under Article 212 W of Guyana’s Constitution, is responsible for monitoring and reviewing public procurement systems to ensure they comply with law and policy guidelines.
Conclusion
The IDB blacklisting of three Guyanese individuals and two companies linked to them highlights the importance of strict regulations and oversight in preventing financial scams. It is crucial that government agencies and regulatory bodies take steps to prevent such fraudulent practices, ensuring transparency and accountability in public procurement processes.