MTN fraud case before police, top bosses summoned
Posted Friday, February 8 2013 at 02:00
The accused are set to appear before Buganda Road Court on March 13 over charges of tax evasion .
The case in which Mr Charles Mbiire, the chairman of the board of directors at MTN Uganda, is facing over 169 counts of alleged fraud has been forwarded to the police for investigations, the State has told court.
State lawyer Peace Biira told the Buganda Road Chief Magistrate’s Court that after taking over the case from private prosecution, the file was forwarded to the Criminal Investigations Department for inquiry.
“The case file was forwarded to police to conduct investigations, I pray for an adjournment,” Ms Biira said, prompting Chief Magistrate Olive Kazaarwe to issue criminal summons for the accused to appear before the court on March 13.
Mr Mbiire is jointly accused with 12 other directors, including the South African-based company’s top executive, Mr Sifiso Dabengwa, for alleged tax evasion, false declaration and conspiracy to falsify declaration.
The case arose after a former MTN logistics officer, Mr Naphtali Were, dragged the company directors to court and secured criminal summons against them.
Through his lawyers, Mr Were alleges that acts of tax evasion and false declarations resulted in payment of less tax than what should have been paid.
It is alleged that MTN declared no taxes in two instances last July instead of paying in excess of Shs178 million.
However, the company has since dismissed the allegations as baseless.