Financial Crime World

Title: Guinean Court Convicts Three in Major Financial Fraud Case Linked to World Bank-Funded Project

Convictions in Guinea’s Largest Financial Fraud Case

  • In a landmark decision, the Guinean Ministry of Justice announced theconviction of three individuals in a major financial fraud case related to the World Bank-financed “Capacity for Service Delivery” (PRCI) project.
  • The convictions follow an investigation and criminal referral by the World Bank’s Department of Institutional Integrity (INT) in October 2003.

World Bank Appreciates Guinean Government’s Swift Action

  • The World Bank hailed Guinea’s determination to pursue and prosecute the case.
  • Callisto Madavo, World Bank Vice President for Africa, commended the government for their quick action.
> * "The World Bank commends the Guinean government, especially the Minister of Justice, for their swift response in investigating and prosecuting this corruption case."
> * "These convictions demonstrate that fraudulent activities will not be tolerated in projects funded by the World Bank."

PRCI Project: Background and Allegations

  • The PRCI project was a US$19 million initiative aimed at improving Guinea’s public services.
  • The project was suspended in 2003 when allegations of corruption surfaced.

Criminal Referrals and Subsequent Convictions

  • The three individuals were prosecuted for their roles in the scandal.
  • The sentences ranged from 3 to 5 years in prison with corresponding fines.

World Bank’s Department of Institutional Integrity Investigation

  • The investigation was initiated in March 2003 upon receiving a report of alleged malfeasance.
  • The PRCI project was suspended pending a forensic audit and criminal inquiry.

The World Bank’s Fight Against Fraud and Corruption

  • The World Bank’s Department of Institutional Integrity has a team of over forty professionals dedicated to investigating fraud and corruption in Bank-financed initiatives.
  • Reports of suspected dishonesty or malfeasance can be made anonymously via phone, collect calls, or email.
> For instructions, visit: https://www.worldbank.org/en/about/unit/integrity-vice-presidency

The PRCI Project’s Current Status

  • The PRCI project remains suspended and will not resume before its closure date of June 30, 2004.