Three Tax Agents Charged for Aiding Tax Evasion

Three tax agents were on Friday charged at a Mombasa court for aiding two companies to fraudulently reduce their Value Added Tax (VAT).

The two were charged alongside directors of the two companies.

The tax agents from Ogot & Associates, together with directors of Gaab Transporters Limited and Samumu Construction Services were charged with several counts in two separate cases.

They appeared before Mombasa Senior Resident Magistrate Christine Ogweno.

In one of the cases, Mohamed Moalin Mohamed, a director of Gaab Transporters Limited as well as Wilson Ogot Owera, David Osore Wesonga and Rolland Anakaya Chiriswa, tax agents to the company, were jointly charged for lying to the Commissioner for Domestic Taxes in the company’s VAT returns for the months of March, April, May and June 2016. This lead to reducing the company VAT liability for the months by Ksh1,59 million.

In the second case, Sammy Kamuio, a director of Samumu Construction Services Limited together with tax agents Wilson Ogot Owera, David Osore Wesonga, and Rolland Anakaya Chiriswa, were charged for making an incorrect statement to the Commissioner for Domestic Taxes in the company VAT returns for the month of April 2016, thereby reducing the company’s VAT liability for the month by Ksh552,672.

The total amount of tax evaded by both companies amount to Ksh2.14 million

All the accused pleaded not guilty in both cases and were released on a bond of Ksh200,000 with an alternative cash bail of Kshs100,000. The two cases will be heard on 17th October 2019

The court summoned Ali Osman Osman a director of GAAB Transporters Limited, and Abdulhamid Habia  Khan and  Jones Muthengi Mukuri directors of Samumu Construction Services Limited to appear on 17th October 2019.