Devolution Cabinet Secretary Eugene Wamalwa on Friday told a Nairobi court that the seizure of his vehicle over alleged tax evasion caused him embarrassment.
The Kenya Revenue Authority seized the Range Rover Vogue and put it in a notice over tax evasion on May 12, 2016.
Mr Wamalwa testified in a case in which five people have denied more than 20 counts of crimes including conspiracy to evade payment of duty.
He said the taxman asked him to surrender the vehicle – KCE 683H – in 2016.
THE PURCHASE
Mr Wamalwa said he bought the car from Elijah Mwenesi Hamisi and John Malogo at Sh17 million.
He said that before the purchase, he conducted a search and then entered a sales agreement before he was handed the logbook.
While being shown documents in court by the prosecutor, the minister said the vehicle initially belonged to Ms Grace Wambui Waraki although he never dealt with her.
“I met the sellers who showed me the vehicle. I did a test drive and we agreed on the terms,” he told Chief Magistrate Martha Mutuku.
NO CLAIM
Mr Wamalwa said that when he bought the vehicle, he assumed the import duty had been paid but that it later emerged that it was among top of the range vehicles wanted by the KRA.
He said he surrendered the car and never went back for it but chose to pursue the sellers through a civil suit and got his money back.
“I have no claim over the vehicle … it is only that I was very embarrassed. I was an innocent buyer who paid the full amount to the seller before taking ownership of the car,” he said.
CHARGES
Mr Zachary Oloo, who works with the authority, also testified in the case in which Mr Hamisi, Mr Mulongo, Mr George Onyango, Mr Edwin Omondi Owiti, Mr Joshua Ayalo and The Heartland Trading ltd, have denied charges of conspiracy to evade payment of duty. The four have also denied procuring uncustomed goods.
The charge sheet stated that between July 16 and August 12, 2015, they procured the Range Rover and failed to pay duty amounting to Sh6.5 million.
Mr Onyango is also accused of making a false entry in KRA’s Simba system by inputting that the vehicle was sold by auction. He faces more than 15 other counts.
The trial was adjourned to August 27.