City tycoon charged with Sh13.7M Subaru tax evasion

Summary:

• City businessman Isa Lusiba faces charges of evading Sh13.7 million in taxes, involving fraudulent activities and possession of uncustomed goods, leading to his remand in Luzira prison until January 23, 2024.

Isa Lusiba, a urban entrepreneur, found himself confronting charges of tax evasion totaling Sh13.7 million during his appearance before the Anti-Corruption Court in Kampala, situated at Nakasero, on January 9, 2024. The proceedings were overseen by Grade One Magistrate Esther Asiimwe. Lusiba was accused of two counts of fraudulent tax evasion, violating section 203(e) of the East African Community Customs Management Act of 2004. Additionally, he was charged with possessing uncustomed goods, contravening Section 200(d) of the same Act.

The prosecution, led by state attorney Ronald Baluku, alleged that in October 2021, Lusiba, with the intention of evading taxes, improperly attached registration number plate UBG 129Y to a Subaru Forester in Kampala, resulting in a tax loss of Sh13.7 million. It was further claimed that during the same month, Lusiba was found in possession of an uncustomed Subaru Forester model 2008 with a dutiable value of Sh13.7 million.

Although Lusiba pleaded not guilty, he was remanded to Luzira prison until January 23, 2024, due to a lack of sureties to vouch for him.

According to Section 200(d)(iii) of the East African Community Customs Management Act of 2004, a person convicted of such an offense could face imprisonment for up to five years or a fine equivalent to fifty percent of the dutiable value involved, or both. Similarly, under Section 203 of the same Act, a person found guilty of the offense may be sentenced to imprisonment for a term not exceeding three years or fined up to $10,000 (approximately Sh37.7 million), or both.