Sh768m gold case: State  wants court to confirm suspects' jail terms

KAMPALA - The state has urged the court to uphold the conviction of two businessmen found guilty of fraudulently obtaining sh768.9 million.

Yusuf Lorika Atek, alias Ahmed Ali, and Abas Jawabu, alias Abdul, were convicted by the Nakasero-based Anti-Corruption Court, presided over by Grade One Magistrate Esther Asiimwe.

However, they have appealed their conviction at the Anti-Corruption Division of the High Court.

Suspects were on January 31, 2025, found guilty of causing the creation of false documents, contrary to Section 203 of the East African Community Customs Management Act (EACCMA), as well as obtaining money by false pretenses under Section 305 of the Penal Code Act, Cap 128, and conspiracy to defraud.

 Each was sentenced to two years in prison.

Prosecution led by Thomas Davis Lomuria from the Uganda Revenue Authority (URA), urged Justice Jane Okuo Kajuga to uphold the conviction, arguing that the trial magistrate rightly found the accused guilty.

However, defence lawyer Evans Ochieng asked the court to acquit the convicts, contending that the trial magistrate erred in law and fact by convicting them of obtaining money by false pretenses, despite the charge being defective, which led to a miscarriage of justice.

After hearing submissions from both the prosecution and the defense on March 12, 2025, Justice Okuo announced that she would deliver her judgment on March 31.

Prosecution’s case      

The prosecution stated that the Uganda Revenue Authority (URA) received a complaint from Mohamood Othman, a businessman from Oman, regarding a suspected fraudulent gold transaction.

According to court records, Othman had travelled to Uganda to conduct some gold business, despite lacking the required licence. 

While in Uganda, he was introduced to Jawabu by his friend, Samir Abdul. Othman interacted with several individuals, including the accused, and after inspecting the gold, confirmed it to be genuine.

He was then advised to pay customs dues at Diamond Trust Bank (DTB). Following this advice, he made a total payment of Sh768.9 million, purportedly to URA.
 
However, it was later discovered that the receipts issued to him at DTB were fake, and the money was never remitted to URA.