Financial Crime World

Title: Guinean Minister of Justice Announces Criminal Convictions in World Bank-Funded Project Fraud Case

World Bank Condemns Fraud and Corruption in Guinea’s “Capacity for Service Delivery” Project

In a commendable move towards eradicating fraud and corruption in the implementation of World Bank-funded projects, Guinea’s Minister of Justice announced criminal convictions of three individuals involved in corrupt activities related to the “Capacity for Service Delivery” (PRCI) project. The conviction followed an investigation and criminal referral by the World Bank’s Department of Institutional Integrity (INT) in October 2003.

Swift Action by Guinean Government Against Corruption

Callisto Madavo, World Bank Vice President for Africa, applauded the Guinean government for swift action in investigating and prosecuting this case. Madavo stated, “The World Bank strongly condemns fraud and corruption on our financed projects. The funds we provide to developing countries like Guinea are intended to improve living standards and reduce poverty. When such activities occur, it not only undermines the intended objectives of our projects but also tarnishes the reputation of the World Bank.”

World Bank’s Department of Institutional Integrity Initiates Investigation

The INT had initiated an investigation into the US$19 million PRCI project following an initial allegation of corruption reported to the department in March 2003. After substantiating the allegations, the World Bank suspended the project pending a forensic audit and criminal investigation. Guinean authorities took immediate action upon receiving the direct criminal referral from their then-Prime Minister, resulting in the recent convictions.

Criminal Convictions and Sentences

  • Corruption Conviction: One of the three individuals was convicted of corruption and sentenced to five years in prison and fined F.G. 3,000,000.
  • Criminal Abstention: The other two individuals were found guilty of Criminal Abstention - the willful failure to prevent the commission of a crime despite having the ability to do so. Each of these individuals was sentenced to three years in prison and fined F.G. 1,000,000.

World Bank Department of Institutional Integrity’s Role

The World Bank Department of Institutional Integrity is responsible for investigating allegations of fraud and corruption within Bank-financed projects. The INT, with a team of over forty professionals, is committed to maintaining the integrity of World Bank-funded projects. To report allegations of fraud and corruption related to World Bank-financed projects:

For more information about the World Bank Department of Institutional Integrity, visit https://www.worldbank.org/en/about/unit/integrity-vice-presidency.