The World Bank has barred a unit of Brazilian construction giant Odebrecht S.A., for three years from bank-financed projects, citing alleged fraud on a flood control and wastewater treatment project in Colombia.
The bank announced on Jan. 29 that it and Odebrecht had reached a settlement that includes the debarment of the parent company’s Brazilian construction and engineering subsidiary Construtora Norberto Odebrecht S.A., alleging that it took part in “fraudulent and collusive practices” related to the $487-million Rio Bogota environmental restoration and flood control project.