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What Are Exclusion Grounds?
The reasons a supplier can be barred from a procurement — mandatory grounds cover fraud and corruption; discretionary grounds cover issues like poor past performance.
What is the difference between mandatory and discretionary grounds?
Mandatory grounds, such as fraud, corruption or serious organised crime, make a supplier an excluded supplier. Discretionary grounds, such as poor past performance or professional misconduct, make it excludable, and the buyer decides whether to exclude.
Do exclusion grounds apply to associated persons and subcontractors?
Yes. Buyers check associated persons and can check subcontractors, and may ask the supplier to replace them if they are caught by an exclusion ground.
Can a supplier avoid exclusion?
Often, by showing that the circumstances are unlikely to happen again, for example through changes in management, new controls or compensation paid. This is known as self-cleaning.
