On-Line Anti-Corruption Training Module

1. Supply of inferior quality:  A concrete supplier deliberately supplies concrete of a cheaper and inferior specification than is contractually required, but invoices the contractor for the required specification.
   
   
2. Supply of insufficient scaffolding:  A scaffolding sub-contractor does not provide scaffolding for the agreed period, but invoices the contractor for the full fixed price. 
   
   
3. Over-claiming quantities:  An earth-moving sub-contractor agrees with the contractor’s quantity surveyor that the quantity surveyor will falsely certify more loads than the earth-moving sub-contractor actually undertakes and will receive 30% of the payment received by the earth-moving sub-contractor for each false load.  The quantity surveyor does so and the earth-moving sub-contractor submits false certificates to the contractor for payment.
   
   
4. Over-claiming time:  A sub-contractor is appointed by a contractor on a day-works basis.  The sub-contractor completes the work using 100 man-days.  The sub-contractor invoices the contractor for 150 man-days of work and attaches time-sheets for the work.  100 man-days of time-sheets are correct.  50 man-days of time-sheets are falsified so as to support the amount invoiced.
   
   
5. Covering up omitted works:  A contractor accidentally omits some structural steel from the foundation works.  The contractor discovers the omission after the foundations have been completed.  Neither the architect nor the project owner realises the omission.  The contractor decides not to disclose the omission to the architect or project owner.  The contractor invoices the project owner in full for the foundation works (including the omitted structural steel).
   
   
6. Covering up defective works:  A roofing sub-contractor installs a waterproof roof membrane which is accidentally perforated during installation.  The sub-contractor offers to make a payment to the supervisor if he certifies that the sub-contractor’s defective membrane is water-tight.  The supervisor accepts.  The sub-contractor submits the certificate to the contractor, and obtains full payment for the defective membrane.  Neither the sub-contractor nor supervisor discloses to the contractor that the membrane is defective.
   
   
7. False settlement sum:  A contractor has reached a confidential settlement with the project owner.  The settlement amount includes an amount for full payment to all sub-contractors on the project.  The contractor then meets with the sub-contractors, and falsely states that he received a smaller amount from the project owner under the settlement agreement than he actually received.  The sub-contractors believe the contractor and, as a result of what they believe to be an underpayment under the settlement between the contractor and the project owner, they agree to accept a reduced payment of sums due under their sub-contracts.
   
   
8. Application for employment:  In order to obtain employment, an applicant for the post of contract manager states in his job application that he has worked as a contract manager.  He has not held such a position.  He is appointed to the post.
   
   
9. False refusal to grant extension of time:  A contract entitles the contractor to an extension of time and payment of loss and expense in the event of specified delays caused by the project owner.  The contract also provides that the contractor should pay liquidated damages to the project owner in the event of specified delays caused by the contractor.  Under the contract, the engineer appointed by the project owner determines questions of delay and loss and expense.  The works are delayed by the project owner.  The contractor applies to the engineer for an extension of time and loss and expense.  The project owner and engineer are aware that the contractor is entitled to both.  The project owner agrees with the engineer that the engineer should refuse the contractor’s claim and should instead issue a certificate requiring the contractor to pay the project owner liquidated damages for delay.
   
   
10. Submission of incorrect or misleading contract claims:  
• A contractor claims for an extension of time from the project owner which he knows is greater than the actual delay caused.
• A project owner deliberately exaggerates a claim against the contractor for defective works.
• A loss and expense claim is deliberately overstated.
  
  
11. Dispute resolution:   A project manager gives evidence in an arbitration on behalf of his employer which he knows is not true.