Search

Editors

Harry Cassin Publisher and Editor

Andy Spalding Senior Editor

Jessica Tillipman Senior Editor

Richard L. Cassin Editor at Large

Elizabeth K. Spahn Editor Emeritus 

Cody Worthington Contributing Editor

Julie DiMauro Contributing Editor

Thomas Fox Contributing Editor

Marc Alain Bohn Contributing Editor

Bill Waite Contributing Editor

Shruti J. Shah Contributing Editor

Russell A. Stamets Contributing Editor

Richard Bistrong Contributing Editor 

Eric Carlson Contributing Editor

Bill Steinman Contributing Editor

Aarti Maharaj Contributing Editor


FCPA Blog Daily News

« Former Soviet republics take different approaches to anti-corruption legislation | Main | ‘Bitcoin threat’ spurs central bank digital currencies »
Wednesday
Jul242019

World Bank debars Merck business unit 

The World Bank debarred a business unit of a Merck subsidiary Wednesday for 12 months for a "fraudulent practice" involving a health project in Bangladesh.

Institutional Family Planning Services Department (IFPSD), a business unit of Merck Sharp & Dohme B.V. (MSD B.V.), is ineligible to participate in World Bank-financed projects during the 12-month debarment.

The $360 million project was designed to help Bangladesh strengthen its health systems and improve its health services, particularly for the poor.

According to the World Bank, IFPSD failed to disclose the full commission amount that the Dutch predecessor of MSD B.V. -- MSD Oss B.V. -- had agreed to pay to its local agent in a contract to supply contraceptives through the project.  MSD Oss B.V. ultimately won the contract.

MSD did not admit or deny culpability for the misconduct, the World Bank said

The 12-month debarment is not eligible for cross debarment by other development banks. To be eligible for cross debarment, the duration must be more than a year.

A list of all World Bank debarred entities and individuals is here.

____

Harry Cassin is the publisher and editor of the FCPA Blog.