20 Kenyan companies blacklisted by World Bank and AfDB over fraud

World Bank and AfDB bans Kenyan companies from global deals owing to corruption scandals [Image:courtasy]
Kenya—In less than two years, nearly 20 Kenya-based companies have been blacklisted by the World Bank and the African Development Bank (AfDB) over fraud and quality concerns in projects funded by the multilateral lenders.

Nairobi-based consultancy firm Africa Development Professional Group (ADP) is the latest firm with Kenyan links to join the financiers’ blacklist after the World Bank banned it for alleged fraud.

The World Bank said last week an investigation conducted by its corruption-fighting unit had established that ADP had engaged in fraudulent practices during a bank-funded project in Somalia.

“According to the facts of the case, ADP recklessly omitted the disclose of a conflict of interest relationship when submitting a proposal for a contract under the project, which is a fraudulent practice,” said the World Bank.

ADP and its affiliates have been debarred for 21 months and will be ineligible to participate in any World Bank-financed projects during the period.

ADP says it provides, “consultancy and advisory services on management, investments, business solutions, corporate finance, and business development.”

The firm also says it has undertaken several multi-million shilling projects for governments agencies.

Several other Kenyan firms have been banned by the AfDB in recent months, turning the spotlight on how local firms bid and clinch lucrative tenders with the two multilateral lenders.

A spot check on the AfDB website shows some of the recently banned companies by AfDBV based in Kenya include Aerospace Aviation, Beta Trading Company, Global Interjapan (Kenya) Limited, Eva-Top Agencies, Madujey Global Services, Mactebac Contractors Limited, Techno Brain Kenya, and Sony Commercial Agencies.

Others are inotec Co. Limited (Kenya Branch Office), Sino-Kenya Engineering Group Company Limited, Rockey Africa Limited, Reef Building System Limited (Reef), Ultimate Engineering Express Automation Limited and Kenya Power contractor Chint Electric.