The Police Mineral Protection Unit, in collaboration with the State House Investors Protection Unit (SHIPU) and other security agencies, has launched investigations into an alleged US$450,000 (about Shs1.62 billion) gold fraud involving an Indian-British investor.
The investor claims to have been defrauded in a purported transaction involving the supply of 20 kilograms of gold.
According to a statement issued by SHIPU Senior Information Technology and Public Relations Officer, Bryan Henry Vubya, preliminary investigations indicate that the investor was allegedly lured into the gold export business after being promised a supply of 20 kilograms of gold.
The investor reportedly paid US$450,000 (about Shs1.62 billion) through a combination of bank transfers and cash payments, with receipts allegedly issued by the suspects.
Investigators further indicate that part of the transaction was processed through an entity presented as the suspects’ legal representative.
The investor was reportedly invited several times to Uganda and neighbouring countries, including Kenya, on the pretext of finalising the transaction.
On one occasion, the complainant allegedly travelled to Kenya after facilitating arrangements for a meeting but was reportedly abandoned by the suspects.
Investigators also said meetings were allegedly scheduled in Germany, which they suspect may have been intended to delay the transaction while creating a sense of confidence and legitimacy.
The investor later signed contractual documents and was subsequently presented with what was purported to be 20 kilograms of gold.
However, upon further verification, the consignment allegedly failed to correspond with the agreed transaction, prompting the investor to seek the intervention of Ugandan authorities.
Authorities are also investigating allegations that forged documents bearing the letterhead of the Special Forces Command (SFC) were used to create the impression that the transaction had government knowledge or approval.
Investigators said that if proven, such actions could cause significant financial losses to investors, damage the credibility of government institutions and undermine confidence in Uganda’s investment environment.
One suspect, Abdul Nasur Ikuns, is currently assisting investigators as inquiries continue.
Authorities are working to establish the full circumstances surrounding the alleged fraud, identify any other individuals who may have been involved and trace proceeds potentially linked to the suspected crime.
SHIPU has reiterated its commitment to protecting local and foreign investors from fraudulent practices that could undermine Uganda’s investment climate.
The Unit has urged investors involved in mineral and gold transactions to conduct thorough due diligence before committing funds. This includes verifying licences and other documentation with relevant government authorities and seeking guidance from recognised regulatory agencies.
Investigations are ongoing, and authorities said further information will be released as the inquiry progresses.
