Nairobi, KENYA: The Kenya Revenue Authority (KRA) on Friday arraigned in court six out of the more than 20 suspected tax evaders as part of an ongoing effort to crack down a tax evasion fraud perpetrated through local commercial banks.
KRA staff, Bernard Nyarige Ong’ayo, Esther Lunde Nganda, Fredrick Mwendia Njuki and Nicholas Ambala were among those who appeared before Chief Magistrate Court 2 at Milimani charged with conspiracy to evade payment of duty contrary to section 203 (e) of East African Community Customs Management Act,2004.
Others who appeared before the Chief Magistrate Court at Milimani are Anthony Mutua Maingi of Helix Company and Nelson Mugo Mwanzia of Excess luggage Ltd. More culprits will be arraigned in court on Monday, 16th May,2016.
The tax evasion fraud which was first unearthed late last year was progressively perpetrated at the Equity Bank, Namanga Branch in Kajiado County.
Further investigations relating to their roles in the tax evasion ring suspected to have occasioned a potential loss of shs 124 million to KRA are ongoing.
Five clearing and forwarding agencies involved in the tax evasion fraud have been suspended from acting as KRA customs agents and will be charged with knowingly and fraudulently conspiring to evade payment of import duty.
KRA Spokesperson, Grace Wandera, confirmed that, as part of the ongoing investigations, the Authority is also set to push for the prosecution of other clearing and forwarding agents, importers and KRA staff suspected to have colluded in perpetrating the vice.
She added that plans are also underway to expand the investigation scope to cover several other banks. Other banks under investigation include the National Bank of Kenya, Commercial Bank of Africa and Cooperative Bank of Kenya.