Kisumu Businessman Arraigned Over Ksh.51 Million Tax Evasion

Kisumu businessman Noor Hassan Abdullahi was on Monday charged at the Kisumu Law Courts with tax evasion amounting to Ksh.51,255,512.

Appearing before Chief Magistrate Dickson Onyango, Abdullahi was accused of failing to declare income earned from the sale of cooking oil, flour, and sugar between 2018 and 2022. The Kenya Revenue Authority (KRA) alleges that he generated over Ksh.735 million during this period but failed to report it for tax purposes.

In addition, KRA claims that Abdullahi did not register for Value Added Tax (VAT) despite dealing in VAT-applicable goods, as required under the Value Added Tax Act No. 35 of 2013.

Abdullahi denied the charges and was released on a bond of Ksh.1 million.

If found guilty, he faces a fine of up to Ksh.10 million or twice the amount of tax evaded—whichever is higher—or a maximum prison term of five years, in line with the Tax Procedures Act.

The case will proceed as investigations continue.