Prohibited Practices

Prohibited practice is the generic and collective term for activities that are considered sanctionable under AIIB’s Policy on Prohibited Practices (PPP).

AIIB defines the following as prohibited practices:

Coercive Practice. Impairing or harming, or threatening to impair or harm, directly or indirectly, any party or the property of a party to influence improperly the actions of a party.

Collusive Practice. An arrangement between two or more parties designed to achieve an improper purpose, including to influence improperly the actions of another party.

Corrupt Practice. The offering, giving, receiving or soliciting, directly or indirectly, of anything of value to influence improperly the actions of another party.

Fraudulent Practice. Any act or omission, including a misrepresentation, that knowingly or recklessly misleads, or attempts to mislead, a party to obtain a financial or other benefit or to avoid an obligation.

Misuse of Resources. Improper use of the Bank’s resources, carried out either intentionally or through reckless disregard.

Obstructive Practice. Any of the following practices:
  1. deliberately destroying, falsifying, altering or concealing of evidence material to a Bank investigation;
  2. making false statements to investigators in order to materially impede a Bank investigation into allegations of a Prohibited Practice;
  3. failing to comply with requests to provide information, documents or records in connection with a Bank investigation;
  4. threatening, harassing or intimidating any party to prevent it from disclosing its knowledge of matters relevant to a Bank investigation or from pursuing the investigation; or
  5. materially impeding the exercise of the Bank’s contractual rights of audit or inspection or access to information.

Theft. The misappropriation of property belonging to another party.