The individual respondent (the "Respondent") was the legal representative of a company that participated in shopping procurement processes under the Housing and Integral Improvement of Urban Informal Settlements Program, Phase II (the "Program"). The Office of Institutional Integrity (the "OII") submitted a statement of charges and evidence against the Respondent for the alleged commission of fraudulent and collusive practices related to the Program. OII alleged that the Respondent submitted false bid securities during the execution phase of the contracts to demonstrate compliance with their terms and obtain an undue financial benefit. The Respondent was also accused of entering into a collusive arrangement with a company during the shopping processes to distribute the award of contracts and conceal that it would be the true beneficiary of the awards. Consequently, and in accordance with the Sanctions Procedures, the Sanctions Officer (the "SO") issued a notice of administrative action (the "Notice") against the Respondent. In its Response to the Notice, the Respondent refuted OII's allegations.

The SO determined that it was more likely than not that the Respondent engaged in fraudulent practices and a collusive practice. As a result, the SO imposed a sanction of debarment for a period of seven (7) years, during which time the Respondent will be ineligible to participate or be awarded contracts in projects or activities financed by the Bank Group. In determining the sanction, the SO considered the harm caused to the project and to the Bank Group's reputation as aggravating factors.

The Respondent did not appeal the determination of the SO before the Sanctions Committee and, therefore, in accordance with the Sanctions Procedures, the sanction imposed came into force.