A businessman whom the Kenya Revenue Authority (KRA) accuses of failing to pay taxes amounting to at least Sh1.87 billion was Friday charged with tax evasion.
Mr Abdi Gedi Amin, alias Abdi Ibrahim Ahmed, appeared before Mombasa Senior Resident Magistrate Vincent Adet and was charged with several tax-evasion charges in four different case files.
Entering plea in only one of the cases because his fellow accused, Mr Amin denied failing to pay income tax of Sh142 million for the year 2013.
Prosecutors said Mr Amin also failed to pay Sh79 million in income tax. Other charges facing him include failing to submit tax returns and three counts of making incorrect statements.
The accused, they allege, made incorrect statements to the commissioner of domestic taxes in his income tax returns by failing to declare more than Sh969 million for 2016, 2017 and 2018.
DIFFERENT ACCOUNTS
Mr Amin was released on a Sh5 million bond with a surety of the same amount or cash bail of Sh2 million.
According to an investigation by KRA, to which the Saturday Nation is privy to, Mr Amin has two KRA PIN numbers bearing different names — A005964732D under Abdi Gedi Amin and A002557439D under Abdi Ibrahim Ahmed — both used interchangeably in bank documents.
Between 2013 and 2017, investigators say, Mr Amin earned Sh1.7 billion but declared only Sh6.2 million, hence evading tax worth Sh787.4 million.
The businessman also owns Gulf Skytop Ltd, which is registered under his wife Rukia Ali Barsok. Mr Amin is a signatory to the accounts.
Between 2013 and 2015, the company imported palm oil in bulk and packed and exported it to DRC Congo and South Sudan.
FALSE STATEMENTS
The KRA established that the quantity of the palm oil varied with the quantity exported by 1.2 million kilogrammes and is suspected to have found its way to the local market without duty and taxes being paid on it.
It also investigated Coast Terminal East Africa Ltd, registered under PIN P051398900G and owned by Mr Amin under his alias Abdi Ibrahim Ahmed.
Between 2013 and 2016, the company earned Sh1.44 billion but declared only Sh647.2 million.
In February 2015, Mr Amin was arrested together with two KRA staffers for allegedly dishing out a Sh1 million bribe in order to avoid paying tax on a sugar consignment alleged to have been smuggled into the country.
The KRA is targeting 600 individuals this year for tax evasion-related cases, up from 222 prosecuted last year.
Last month, Keroche Breweries owners Joseph and Tabitha Karanja were arrested over Sh14.5 billion in tax fraud following a directive by Director of Public Prosecutions Noordin Haji.