Lesotho Water Project Corruption

Mural in Uganda

Corruption is a widespread problem in the world of large dams. Massive corruption was discovered on the LHWP in 1999, when more than 12 multinational firms and consortiums were found to have bribed the CEO of the project. After the CEO himself was found guilty, three major European firms were put in the dock; thus far, two have been found guilty and charged, and one has been debarred at the World Bank.

• Corrupt Lahmeyer Debarment Welcome but Late -- NGOs
  International Rivers and Environmental Defense welcome the World Bank's decision to debar Lahmeyer International from receiving Bank contracts for up to seven years because of the company's corrupt role in the Lesotho Highlands Water Project. Please read the press release. November 7, 2006.

• World Bank Debars Acres International Limited (Acres)
  The World Bank has finally debarred one of the multinational companies convicted of corruption on the Lesotho Highlands Water Project. Acres International will not be eligible for Bank contracts for three years. July 19, 2004.

• Read the World Bank Press Release on Acres’ Debarment
  "World Bank Sanctions Acres International Limited". July 23, 2004.

• Read Testimony on LHWP Given to Senate Foreign Relations Committee

• Lesotho Judge Convicts German Engineering Firm of Bribery Charges
  International Rivers calls on the World Bank and other financial institutions to take a stronger stand against corruption. June 18, 2003.

• Canadian Engineering Firm Found Guilty of Bribery in Lesotho
  The Lesotho High Court has convicted Acres International, a Canadian engineering consulting firm, of paying bribes to win contracts on a multi–billion dollar dam project. The company may face disbarment by World Bank. September 20, 2002.

• Oakville Engineering Company Braces for African Bribery Verdict
  A tale of Swiss bank accounts and battered reputations unfolds in a courtroom in faraway Lesotho, Toronto Star, September 16, 2002.

• Lesotho Highlands Bribes Trial Starts
  Financial Times, June 5, 2000.

• Lesotho Highlands Water Project: What Went Wrong?
  by Nick Hildyard of the UK NGO The Corner House. The paper was presented at a meeting on corruption in southern Africa, organized by Transparency International, in London. July 25, 2000.

• Companies Charged with Corruption on Lesotho Dams
  World Rivers Review, December 1999.

• Response from the World Bank on LHWP
  November 30, 1999.

• Companies Charged with Corruption Should Be Suspended From World Bank Contracts
  November 26, 1999.

• Lesotho Highlands Water Project, World Bank’s Responsibilities and Impregilo Involvement in Corruption Court Case
  International Rivers letter to the World Bank discussing Lesotho Highlands Water Project, Impregilo involvement in crruption court case and the bank’s responsibility, November 19, 1999.

• Letter to World Bank President Concerning Corruption in Lesotho Highlands Water Project
  A unique coalition of trade unions, environmentalists and development bodies demand action by the World Bank against companies which are implicated in a bribery scandal on the Lesotho Highlands Water Project, November 27, 1999.

• Major Dam Companies Caught in African Bribery Scandal
  World Rivers Review, October 1999.

• Three Letters to the Washington Post on the Lesotho Highlands Water Project Corruption Case Reveal Very Different Perspectives
  Letters revealing very different perspectives on the LHWP corruption case. October 22, 1999.

• The Privatisation of Utilities is an Invitation to Bribery and Graft
  South African researcher has questions about the recent corruption involving major dam–building companies. August 27, 1999.

• Bribery Taints World Bank–Funded Lesotho Water Project
  August 4, 1999. Big Firms Accused of Bribery in Dam Project that originally appeared on August 13, 1999.