Bank staffer in court over tax evasion

An Equity Bank member of staff has been arraigned at a Nairobi court to face tax evasion related charges.

The banker, who was presented before Milimani Chief Magistrate Charles Ogembo, faced eight tax evasion related counts including conspiracy to evade payment of duty and interfering with information stored in customs computerized systems, as the Kenya Revenue Authority (KRA) steps up efforts to seal revenue leakage loopholes.

At the dock, Equity Bank Namanga Branch Cash Officer Douglas Wachira Gikunju denied the charges and was released on a Ksh 1 million bond.

A warrant of arrest has been issued for the Equity Bank Namanga Branch Operations Manager Benson Rwara Kabuu who failed to appear in court.

The two bankers are suspected to be members of an elaborate tax evasion ring that has been fraudulently interfering with the KRA Simba System.

Arising from the scam, the two bankers faced charges implicating them in the potential loss of Ksh 124 million.

Also to be prosecuted are the clearing and forwarding agents, importers and the KRA staff suspected to have colluded with the bank’s staff in perpetrating the vice.

In a statement, KRA said investigations into the role played by its staff in the fraud are at an advanced stage.

Other banks under investigation are the National Bank of Kenya, Commercial Bank of Africa and Cooperative Bank of Kenya.

Recently, a National Bank of Kenya staff member Kennedy Otieno Juma was charged with interfering with information stored in the customs computerized system.

The matter will be heard on April 7^th at the Milimani Law Courts.

In a related incident, two employees of Cooperative Bank of Kenya Leviscus G. Njeru and Ian Martin Ochieng were charged alongside three employees of clearing and forwarding firms for facilitating fraudulent transactions.

According to the KRA, the authority has integrated a proactive security intelligence capability to ensure no unauthorized data access and manipulation which results to revenue leakage.