UGANDA: MTN’s Mbire, 12 others face fraud charges

By  EPHRAIM KASOZI

A court has ordered fresh charges against Mr Charles Mbire, the chairperson MTN Uganda, and 12 other top company officials, over 169 counts of alleged fraud.

Mr Mbire is jointly accused with the other directors, including the South Africa-based group president, Mr Sifiso Dabengwa of tax evasion, false declaration and conspiracy to falsify declaration.

They include; Chief Executive Office Mazen Mroue, board members Khumo Sehoole and Mozipho January Dardil.

Others are the corporation secretary, Mr Anthony Mutyaba Katamba; Chief Finance Officer Mike Blackburn and his predecessor, Mr Nigel Williams, a former procurement manager, Mr Mervvin Immelman and his replacement, Mr Francis Terffoute.

“It is in that regard that court shall now sign formal charges against all the accused and extend criminal summons for them to appear in court to answer the said charges,” Buganda Road Chief Magistrate Sylvia Nabaggala said, before setting November 12, for taking plea.

The case arose after a former MTN logistics officer, Mr Naphtali Were, dragged the company directors to court on allegations of tax evasion and false declarations, resulting in payment of less tax.

The trial magistrate argued that sufficient evidence against the company meant committing an offence under the East African Community Customs and Management Act 2004 for which MTN, as a company, and its directors can be held criminally liable.

Last month, the court summoned the company directors for preliminary proceedings to determine whether the complainant had sufficient evidence before drawing up formal charges against them.

However, MTN has since dismissed the tax evasion case as baseless and insisted that Mr Were was suing out of revenge after being accused of stealing $4.1 million from the firm.

Source: Daily Monitor (09/11/2012): http://www.monitor.co.ug/News/National/MTN+s+Mbire++12+others+face+fraud+charges/-/688334/1615436/-/1012vrs/-/index.html