World Bank debarment of SNC-Lavalin Inc. over the Padma Bridge project (2013)
- Resolution type
- Negotiated Resolution Agreement between the World Bank and SNC-Lavalin Group 1
- Date
- 17 April 2013, press release 2013/337/INT 1
- Agency
- World Bank Group, Integrity Vice Presidency (INT) 1
- Entities debarred
- SNC-Lavalin Inc. and over 100 affiliates 1
- Sanction
- Debarment for 10 years, reducible to eight years if the companies comply with all conditions of the agreement 1
- Rest of group
- "The remainder of the SNC-Lavalin Group has been conditionally non-debarred for the same period of time" 1
- Conditions
- Comply with the agreement, cooperate with INT and keep improving the internal compliance program 1
- Misconduct as stated
- "a conspiracy to pay bribes and misrepresentations when bidding for Bank-financed contracts" 1
- Projects
- Padma Multipurpose Bridge Project, Bangladesh, and Rural Electrification and Transmission project, Cambodia 1
- Amount
- No financial payment confirmed for this page 1
- Cross-debarment
- The Bank said it "qualifies for cross-debarment by other MDBs" 1
- Status
- End date and any reduction to eight years not confirmed for this page 1
The World Bank resolution
The World Bank Group announced on 17 April 2013 the debarment of SNC-Lavalin Inc. and over 100 affiliates "for a period of 10 years" 1. The release names SNC-Lavalin Inc. as a subsidiary of the Canadian company SNC-Lavalin Group 1.
The Bank said the debarment is part of a Negotiated Resolution Agreement between the World Bank and SNC-Lavalin Group 1. It said "The debarment can be reduced to eight years if the companies comply with all conditions of the agreement" 1. The rest of the group was conditionally non-debarred for the same period 1. The release says a failure to comply exposes the rest of the group to debarment 1.
Under the current World Bank procedure, issued in 2023, a settlement agreement is signed by INT and the respondent and reviewed by the Suspension and Debarment Officer 4. It is not a decision of the Sanctions Board 4.
Misconduct described by the Bank
The release says the debarment followed "the company's misconduct in relation to the Padma Multipurpose Bridge Project in Bangladesh" 1. It describes the misconduct as "a conspiracy to pay bribes and misrepresentations when bidding for Bank-financed contracts" 1. The release says this breached the Bank's procurement guidelines 1.
The Bank said that during its investigation it learned of "misconduct by SNC-Lavalin Inc. in relation to the World Bank-financed Rural Electrification and Transmission project" in Cambodia 1. The Bank said "we referred the matter to the Royal Canadian Mounted Police whilst the World Bank finalized its investigation" 1.
Integrity Vice President Leonard McCarthy said "This case is testimony to collective action against global corruption" 1.
Padma Bridge background
In a statement of 20 September 2012, the World Bank said it had "announced the cancellation of a $1.2 billion IDA credit for the Padma Multipurpose Bridge Project" on 29 June 2012 2. It said its investigative unit had shared with the Government of Bangladesh "credible evidence of corruption related to our financing of the bridge" 2. The statement set out steps the government had agreed, including an independent external panel to review the government's investigation 2. That statement concerns the Bank and the government. It does not set out the SNC-Lavalin sanction 2.
Cross-debarment
The Bank said the debarment "qualifies for cross-debarment by other MDBs under the Agreement of Mutual Recognition of Debarments" signed on 9 April 2010 1. The Asian Development Bank names the same pact the Agreement for Mutual Enforcement of Debarment Decisions and lists the African Development Bank, Asian Development Bank, EBRD, Inter-American Development Bank and World Bank as signatories 3. Under that agreement a debarment must be public and its initial period must exceed one year 3.
This page has not confirmed which banks enforced the SNC-Lavalin debarment. No SNC-Lavalin entry appeared on the African Development Bank's current list of debarred entities when it was checked in October 2026 5. That list shows current entries, so this does not show whether the AfDB enforced the debarment in the past 5.
Common questions
Did the World Bank find SNC-Lavalin guilty?
No. This was an administrative debarment under a Negotiated Resolution Agreement, not a criminal finding 1,4.
How long was SNC-Lavalin debarred?
Ten years, reducible to eight if the companies met all conditions of the agreement 1.
Was the whole SNC-Lavalin Group debarred?
No. SNC-Lavalin Inc. and over 100 affiliates were debarred. The rest of the group was conditionally non-debarred 1.
What was the Padma Bridge case?
The Bank cancelled a US$1.2 billion IDA credit for the bridge on 29 June 2012, citing credible evidence of corruption 2.
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Sources
- World Bank: press release 2013/337/INT, World Bank Debars SNC-Lavalin Inc. and its Affiliates for 10 years (17 April 2013)
- World Bank: World Bank Statement on Padma Bridge (20 September 2012)
- Asian Development Bank: Cross Debarment
- World Bank: Bank Procedure, Sanctions Proceedings and Settlements in Bank Financed Projects (30 November 2023)
- African Development Bank Group: Debarment and Sanctions Procedures, list of debarred entities
Related
- World Bank sanctions and debarment explained
How the World Bank investigates, debars and settles with firms over fraud and corruption in Bank-financed projects, from INT to the Sanctions Board.
- Cross-debarment among multilateral development banks explained
How a debarment by the World Bank, AfDB, ADB, EBRD or IDB can be enforced by the others under the 2010 mutual enforcement agreement, and its limits.
- World Bank debarment of Alstom Hydro France and Alstom Network Schweiz AG (2012)
On 22 February 2012 the World Bank debarred two Alstom units for three years and Alstom agreed restitution of about US$9.5 million over a Zambia project.
- African Development Bank sanctions and debarment explained
How the AfDB investigates fraud and corruption, how the Sanctions Commissioner and Sanctions Appeals Board decide, and how AfDB settlements work.