Tuesday, January 13, 2009

World Bank blacklists Wipro

After Satyam’s fall from grace follow revelations of the World Bank banning India’s third largest software services firm, Wipro, for following corrupt practices to bag deals.

Wipro had not disclosed the four-year ban imposed on it in July 2007 to investors. Its statement on Monday tailed the World Bank’s decision on Sunday to make public the names of all companies and individuals barred from being awarded contracts financed by it for various periods.

The bank said Wipro was one of the six companies and individuals “debarred along with their affiliates under the Bank Group’s corporate procurement programme”.

It said Wipro had “provided improper benefits to Bank staff” — which was one of the reasons cited for imposing a similar ban on Satyam Computer Services for eight years. The other reason given for banning Satyam was that it had failed to maintain documentation to support fees charged for its sub-contractors.

It said Wipro had “provided improper benefits to Bank staff” — which was one of the reasons cited for imposing a similar ban on Satyam for eight years. The other reason given for banning Satyam was that it had failed to maintain documentation to support fees charged for its sub-contractors.

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