The World Bank has announced the nine-month debarment of the China Railway Construction Corporation (CRCC) and its wholly-owned subsidiaries, China Railway 23rd Bureau Group (CR23) and CRCC International, in connection with misconduct under the East-West Highway Corridor Improvement Project in Georgia, however the companies will continue construction work on the East-West Highway.
The World Bank explained that the debarment is part of a settlement agreement with CRCC, CR23, and CRCC International related to misconduct during the procurement process for a highway construction contract.
Georgian Infrastructure Minister Maya Tskitishvili said that the ministry found this misconduct in the tender announced in 2017 for the construction of the Zemo Osiauri-Chumateleti section of the East-West Highway and notified the World Bank, a donor of the East-West Highway project, about it.
Accordingly, World Bank restricted the China Railway Construction Corporation (CRCC) and its wholly-owned subsidiaries from participating in all tenders that will be announced by the World Bank during the next nine months.
The Chinese companies will continue development of Georgia’s East-West Highway project as was planned, said Tskitishvili.