GHD Wins Federal Contracts Despite World Bank Ban

An architecture, environmental and engineering company, which was banned by the World Bank for fraud in 2004, is apparently still receiving federal contracts worth millions of dollars.

GHD has been on the list of debarred firms set by the World Bank, after it was discovered that the company has had several fraudulent transactions for its $20 Million AUS contract to rehabilitate Indonesia. The sanction report also stated that GHD did not disclose a $US34,000 fee paid to a sub-consultant.

The debarment effectively disqualified GHD to take any projects that has connections with the World Bank until June 9, 2014.

The company has since withdrawn from any projects in Indonesia, and was assumed to receive its revenue with projects mostly based in Australia.

In fact, the federal government’s websites showed that since the debarment, GHD has had contracts with the AusAid, as well as the Department of Foreign Affairs and Trade. The company was also responsible for infrastructure projects in Victoria, including the development of Port Hastings and the Regional Rail Link.

GHD did not contest the findings of the World Bank’s sanction board and its chief executive said in a statement that the debarment was only limited to a certain time frame and would not have any effect on other projects that the company will undertake.

The company also defended its position by saying that it should receive lesser sanctions than the sub-consultant, “who were responsible for the misconduct and received negotiated debarments of three years each.”

The sanction board, however, is firm in its stand that GHD should still be held responsible.