Satyam and Wipro are not the only IT companies to be banned by the World Bank. The World Bank website released a statement mentions that US-based IT services firm, Megasoft Consultants has also been included  the same list of banned companies.

World Bank has barred Wipro and Megasoft Consultants for four years from 2007 to 2011 along with their affiliates under the Bank Group's corporate procurement program.

Megasoft has been barred from participating in a joint venture with bank staff while also conducting business with the bank.

The World Bank statement says, “The World Bank Group has decided to make public the names of all companies that have been debarred from receiving direct contracts from the Bank Group under its corporate procurement program. This change was made in the interest of fairness and transparency.”

This change aligns the disclosure practice for companies that provide goods and services directly to the Bank with the current policy governing procurement on Bank financed projects in developing countries. In parallel with the Bank's disclosure of the names of companies and individuals debarred on Bank financed projects from now on, the Bank Group will publicly list the names of companies debarred from its corporate procurement.

Megasoft Consultants limited is an associate company of BSE listed a product-based technology company Megasoft. Megasoft is now the third Indian software company facing the music composed by World Bank. 

Reacting to the debarrment from World Bank, Megasoft limited CEO, GV Kumar said, "Megasoft has had no business from World Bank since 2004 and hence there is no financial impact on the company due to this announcement”.

Kumar further added, "The World Bank approached us in 2007 seeking details about Megasoft' China Operations and we gave them all the details. We had by then even shut down our China operations. They objected to us having a joint Venture with an ex-employee of the World Bank and chose to debar us on that ground."

Two other non-IT companies - Nestor Pharmaceuticals and Gap International - were also barred. Wipro Technologies has been barred for providing improper benefits to Bank staff. X

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