NAIROBI, Kenya, Sept 6 – The Kenya Revenue Authority (KRA) and Directorate of Criminal Investigations (DCI) will today charge Abdi Gedi Amin, a businessman at the Mombasa Law Courts with tax evasion related counts.
The suspect was arrested yesterday in Mombasa for allegedly being involved in a massive tax evasion syndicate in excess of Sh1Billion.
He will face tax evasion related counts including failure to pay taxes, failure to file returns and giving false information that affect tax liability for both companies and himself.
“The offences contravene Section 97(c) as read with Section 104(3) of the Tax Procedures Act 2015,” the Authority says in a statement.
Abdi is alleged to have formed more than seven companies where he is either a director or used proxies to manage the companies including being bank signatories.
The companies have been trading as manufacturers, wholesalers and retailers in household commodities e.g sugar, oils, general goods to transport services.
The companies are spread between Mombasa and Nairobi.
The suspect spent his night at the police custody awaiting to take plea.
The arrests come at a time when other notable businesspeople have been arrested over tax evasion.
Last month, Keroche Breweries owners Joseph and Tabitha Karanja were arrested over Sh14.5 billion in tax fraud, following a directive by the Director of Public Prosecutions Noordin Haji.
The DPP made his decision after an audit conducted by KRA established that Keroche Breweries Limited had evaded the payment of tax totaling 14.4 billion shillings.
Haji said the inquiry related to the allegation of tax fraud on various products manufactured and sold by the Naivasha based brewer between January 2015 and June 2009.
Billionaire Humphrey Kariuki was also arrested after he faced tax evasion charges amounting to Sh41 billion.
The businessman said he is a victim of envious individuals, unsettled by his vast business empire, which is across the world.