The Lower Eastern Times Opening The Third Eye
Related Articles
The Director of Public Prosecutions (DPP) has secured a conviction in the Milimani Law Court, resulting in a fine of Sh6 million for Chinese national Cai Rongui, who was found guilty of tax evasion.
Cai was convicted for intentionally failing to report income and Value Added Tax (VAT) for 2018 and 2019, amounting to Sh162,233,500 each year. The charges stemmed from violations under Section 97(e) and Section 104(3) of the Tax Procedures Act, 2025.
Click here to join our WhatsApp Channel
The court imposed a fine of Sh1.5 million for each of the four counts, adding up to a total of Sh6 million. The charges indicated that on June 31, 2019, Cai, as the owner of Yiyuan Trading Company Limited, deliberately failed to report income for 2018 and 2019 to the Commissioner of Taxes in Nairobi.
The Office of the Director of Public Prosecutions (ODPP) clarified that this omission resulted in an unreported income tax liability of Sh48,670,050. Cai was also found guilty of failing to declare VAT of Sh162,233,500, which led to an outstanding VAT liability of Sh25,957,360, violating the Value Added Tax Act, CAP 35 of the Laws of Kenya.
The prosecution, led by lawyer James Gachoka, presented two witnesses to back the case.
