Settlements

ST-321
Siemens AG (World Bank)
Siemens AG
Integrity Vice Presidency
Various
2009
7/2
Germany, United States
Legal Person
Administrative
Establishment of Special Fund, Debarment, "Voluntary restraint" from bidding on World Bank projects for two years
Special Fund
$100,000,000.00
$0
$0
$0
$100,000,000
Special Fund
$100,000,000
Integrity initiative fund
Art.16, Art.26
Art. 1, Art. 2, Art. 8
Corruption in a project in Russia involving a subsidiary
Corruption in a project in Russia involving a subsidiary
Yes
According to the World Bank Press Release, "The World Bank Group today announced a comprehensive settlement with Siemens AG in the wake of the company's acknowledged past misconduct in its global business and a World Bank investigation into corruption in a project in Russia involving a Siemens subsidiary. The settlement includes a commitment by Siemens to pay $100 million over the next 15 years to support anti-corruption work, an agreement of up to a four-year debarment for Siemens' Russian subsidiary, and a voluntary two-year shut-out from bidding on Bank business for Siemens AG and all of its consolidated subsidiaries and affiliates. [ ] Siemens' commitment to pay $100 million to support global efforts to fight fraud and corruption would include providing funds to organizations and projects aimed at combating corruption through collective action, training, education. The money will also be directed to helping governments to recover assets stolen by corrupt leaders, and strengthening efforts to identify and crack-down on corrupt practices. The World Bank Group will have audit rights over the use of these funds and veto rights over the selection of anticorruption groups or programs receiving funds." (Source: The World Bank, "Siemens to pay $100m to fight corruption as part of World Bank Group settlement," Press Release No:2009/001/EXT, July 2, 2009.)