Company director charged over sh179m tax fraud

Feb 23, 2024

It is alleged that in September 2022, at Rubaga division, Kijjambu knowingly made false statements to a tax officer regarding Value-Added Tax returns for August.

Company director charged over sh179m tax fraud

Edward Anyoli
Journalist @New Vision

Derrick Kijjambu, a director at Demko Auto Service Ltd was on February 22, 2024, charged at the Nakasero-based Anti-Corruption Court before senior principal grade one magistrate Abert Asiimwe.

Kijjambu, 33, a resident of Kabowa in Rubaga division, was charged with eight counts in relation to  making false statements to the Uganda Revenue Authority (URA).

Prosecution led by Allan Nkoyoyo alleged that in August 2022, at Rubaga division in Kampala, Kijjambu, the director of Demko Auto Service Ltd, made a false declaration to a tax officer regarding Value-Added Tax returns for July 2022. Kijjambu claimed to have purchased goods worth shillings 1.9 million from FB Fashions Ltd, which the prosecution contends was not the case.

It is alleged that in September 2022, at Rubaga division, Kijjambu knowingly made false statements to a tax officer regarding Value-Added Tax returns for August. He purportedly claimed to have purchased goods worth shillings 22.9 million from Maserina Assorted Spare Items Ltd, which the prosecution contends was not true.

The prosecution asserted that on October 12, 2022, at Kabowa in Rubaga division, Kampala city, Kijjambu, in his capacity as the director of Demko Auto Service Ltd, made  yet another false claim to a URA tax officer. He allegedly stated that he had purchased goods totaling shillings 19.6 million from Maserina Assorted Spare Items Ltd, a claim that the prosecution contends was false.

Also, it is purported that Kijjambu on November 14, 2022, made false statement in which he reportedly claimed to have purchased goods worth shillings 47.9 million from Transville Moto Spare parts and Couriers whereas not.

According to the prosecution on February 15, 2023 and March13, 2023, Kijjambu claimed to have purchased good at shillings 70.9 million Value Added Tax inclusive from Westbrom Spare Parts and Logistics Ltd.

Furthermore, it is alleged that Kijjambu on April 12, 2023 at Rubaga to have bought goods worth shillings 16.4 million from Isa Ssendiwala Byaruhanga whereas not. He denied the charges.

Kijjambu was charged under section 58(1)(a) of the Tax Procedure Code Act of 2014. The offence carries a fine of shillings 960,000 or two years in jail. He was granted cash bail of shillings two million

Nkoyoyo informed the court that investigations are still ongoing and requested additional time to allow the Police to conclude their inquiries. The case was adjourned to March 26, 2024, for the state to provide an update to the court on the status of the inquiries.

 

 

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