A city businessman, Sikhou Gassama, aged 63 and director of Gassama & Brothers Co. Ltd has been convicted on charges of Tax fraud following his own plea of guilt in the Anti-Corruption Court to multiple counts arising from long-running investigations covering the years 2016–2022.
According to findings by the Uganda Revenue Authority’s Tax Investigations Department, Gassama intentionally under-declared income from fish maw trading and other business activities. URA uncovered undeclared earnings totaling UGX 32.5 billion, resulting in a tax liability of UGX 9.65 billion. The investigation also revealed suspicious practices such as structured bank deposits designed to avoid reporting thresholds and false customs declarations intended to evade import duty.
These findings formed the basis for multiple charges under the Tax Procedures Code Act Cap 343 and the EAC Customs Management Act 2004. On December 8, 2023, Grade One Magistrate Esther Asiimwe remanded Gassama to Luzira Prison. Court documents show that he grossly under-declared income and concealed business records, prompting the court to schedule the matter for mention on December 20, 2023.
Court on September 18, 2025, directed Gassama to appear for trial, which commenced the next day before Principal Grade One Magistrate Paul Mujuni. The prosecution presented evidence that the accused had filed false tax returns, omitted taxable income amounting to UGX.32,522,801223, and channeled proceeds through different accounts to obscure their origin.
Court Developments and Guilty Plea:
Gassama who had pleaded not guilty later changed his plea to guilty on seven counts of making false statements to a tax officer after prosecution had presented evidence to support their case. The prosecutor emphasized the gravity of the offences and the level of market distortion and bad competition such unfair business practices can cause in the market.
An offence of making a false statement contrary to Section 67 of the tax procedures Code Act, Cap 343 attracts a maximum sentence of not more than 10years in prison or a fine not exceeding Ugx. 110,000,000 or both per count. Several other counts which he was charged with also have varying punishments per count.
The general public is advised to desist from such unpatriotic acts before the long arm of the law catches up with them. Every taxpayer is advised to always pay keen attention to the tax declarations made by them or their agents to Uganda Revenue Authority to avoid inconveniences and penalties that may come with wrong declarations.
The case of Gassama & Brothers underscores URA’s commitment to identifying, investigating, and prosecuting tax evasion. URA continues to safeguard national revenue and promote a culture of compliance. Evasion and false declarations will always attract full legal consequences, ensuring fairness for honest taxpayers.
Correspondence by Balukusa Christine
