The International Finance Corporation (IFC) has concluded an external review conducted by the global law firm Freshfields, examining the Compliance Advisor Ombudsman’s (CAO) investigation into IFC's investment in Bridge International Academies. This review was initiated following concerns raised by World Bank Group President Ajay Banga after a CAO investigation revealed that reports of child sexual abuse were not addressed promptly during IFC's investment period.
Freshfields' investigation aimed to determine whether IFC had intentionally or otherwise impeded the CAO's inquiry. After thorough interviews and document reviews, Freshfields found no intent from IFC to obstruct the investigation. However, it noted that IFC could have cooperated more efficiently and rigorously, though this did not alter the CAO's final conclusions.
The review also provided recommendations for future investigations to enhance collaboration between IFC and CAO. These include setting clear expectations on confidentiality, reinforcing client obligations to participate in investigations, defining CAO’s independence parameters, clarifying harm remediation responsibilities, and considering training for personnel to better understand their roles.
The Board of Executive Directors has accepted these findings and plans to implement actions based on the recommendations provided.
For further information, contact David Theis in Washington at (202) 203-0601 or dtheis@worldbank.org.