Phase 5: Project Execution

Fraudulent quality assurance and safety non‑compliance

Testing, quality assurance, and safety controls are compromised through falsified results, substitution of materials, or bribery or conflicts-of-interest involving inspectors, increasing the risk of failures and accidents.

Red Flags & Indicators

  • Test certifications and reports lack end-to-end traceability (sample IDs, custody records, timestamps) or show suspiciously consistent results.
  • Materials delivered or installed diverge from approved specifications without justification, or substitutions are made without documented approval.
  • Safety incidents and near-misses are not reported or underreported, and corrective actions repeatedly exceed past due dates.
  • Inspector/lab independence is questionable (repeat engagements, undeclared conflicts, templated and identical sign-offs).
  • Non-conformities are closed without verifiable evidence, and the same defects recur across inspections.

Stakeholder Guidance

Stakeholder Exposure

Exposure includes increased risk of substandard materials, falsified tests and operational failure; costly rework and stop-work events; higher accident and liability risk; warranty and insurance impacts; and higher reputational risk.

Decision Point

During testing, proceed only with traceable quality assurance systems, approved materials, and established health and safety standards.

Mitigation Actions

• Adopt quality assurance and quality control (QA/QC) processes, streamlining workflows, standardising procedures across all projects, ensuring consistent quality standards, and automating documentation where possible
• Maintain complete quality assurance, quality control, and health, safety and environment (HSE) records (sample IDs, chain-of-custody, test results, inspection logs, non-conformance reports)
• Use digital tools that auto timestamp entries to avoid falsification or backdating of quality and safety documentation
• Maintain a full audit trail of quality and safety documentation (who created, edited, when, and what changed in each document version)
• Verify materials against approved specifications (receiving inspection report, batch and heat numbers, traceability)
• Adopt a system to red flag unapproved materials substitutions
• Quarantine non-conforming materials and document what is done with those materials
• Separate quality verification from production, payment, and certification roles
• Use independent or second-line checks for critical tests and retain evidence for audits
• Use internal compliance escalation processes and whistleblower channels, where available, to report pressure to bypass tests, close non-conformance reports without evidence, or underreport incidents
• Stop work when critical controls fail until corrective actions are verified

Mitigation Resources

Assess fraud risks and apply prevention, detection, investigation, and corrective-action controls to quality and safety records, including test results, inspection records, non-conformance reports, material traceability records, and corrective actions.

Fraud control management — https://toolbox.infrastructuretransparency.org/resource/fraud-control-management/

Control quality and safety records, including test results, inspection records, non-conformance reports, material traceability records, and corrective actions, through formal evidence requirements, independent review, and verification before internal sign-off, certification requests, or payment claims.

Change control, delivery verification, and payment integrity — https://toolbox.infrastructuretransparency.org/resource/change-control-delivery-verification-and-payment-integrity/