Guinean Court Convicts Three Individuals in World Bank-Funded Fraud Case

## Title: Guinean Court Convicts Three Individuals in World Bank-Funded Fraud Case

## World Bank-Financed Fraud Case: Guinean Court Hands Down Convictions

_WASHINGTON, D.C._ - In a notable step towards combating fraud and corruption in Guinea's development projects, a Guinean court has convicted three individuals involved in corrupt activities related to the World Bank-financed "Capacity for Service Delivery" (PRCI) project. The Minister of Justice of the Republic of Guinea communicated the convictions to the World Bank earlier this week.

## World Bankcommends Guinean Government for Addressing Issue

The World Bank commended the Guinean government for tackling this issue, expressing approval in a statement. _Callisto Madavo_, Vice President for Africa at the World Bank, praised the Ministry of Justice for their quick actions in investigating and prosecuting the corruption case, which stemmed from a referral by the Bank's Department of Institutional Integrity in October 2003.

> "The World Bank applauds the Guinean government, particularly the Minister of Justice, for their swift response in investigating and prosecuting this corruption case. These convictions underscore the bank's zero tolerance policy towards fraud and corruption on World Bank-financed projects. Our commitment remains to channeling funds to benefit the people of Guinea and reduce poverty."
> *Callisto Madavo, Vice President for Africa at the World Bank*

## Department of Institutional Integrity: Investigation and Consequences

The Department of Institutional Integrity (INT) initiated an investigation of the US$19 million PRCI project after receiving an initial allegation of corruption in March 2003. Upon verification of the allegations, the World Bank suspended the project, pending the completion of a forensic audit and criminal investigation. Guinean officials launched an investigation immediately following the direct criminal referral from the then Prime Minister, leading to the recent convictions. The PRCI project, scheduled to close on June 30, 2004, will not be reopened.

## Convictions and Sentences

Among the convicts was an individual found guilty of corruption, who received a five-year prison sentence and a F.G. 3,000,000 fine. The remaining two individuals were convicted on charges of Criminal Abstention—willfully failing to prevent the commission of a crime—and each received a three-year prison term and a F.G. 1,000,000 fine.

## World Bank's Integrity Vice Presidency: Anti-Corruption Efforts

The World Bank's Integrity Vice Presidency oversees investigations into allegations of fraud and corruption related to Bank-funded projects. The specialized team, consisting of more than forty professionals, includes investigators, legal specialists, forensic accountants, procurement specialists, and experienced Bank project managers.

To report allegations of fraud and corruption related to World Bank-funded projects, individuals can call 1-800-831-0463, submit reports in person, or send emails to investigations_hotline@worldbank.org. Reports can be made anonymously.