Ugandan authorities have arrested seven individuals, four Congolese nationals and three Ugandans, over an alleged $70,000 fake gold scam targeting a Nigerian businessman in an operation described as one of the country’s most significant anti-fraud stings this year.
The suspects, identified as Paluku Kisasi, Safari Akonkwa, Isaac Mpende, Abdul Madjid Kahirima, Mabwongo Prince, Kajjubi Tevin Kyome, and Tibasiima Barbra (alias Katushabe Sharon), are accused of posing as agents for two fictitious companies, Legacy Refinery Limited and Emerod Agency Limited. They allegedly promised to supply seven kilograms of gold to Nigerian national Mark Gbillah in exchange for $70,000.
According to the State House Anti-Corruption Unit (SH ACU) and the Criminal Investigations Directorate (CID), the victim alerted authorities after becoming suspicious. A controlled meeting was arranged in Kampala’s upscale Muyenga neighborhood, during which the suspects were arrested before further payments could be extracted.
Police recovered 150 kilograms of counterfeit gold bars and imitation nuggets from a rented property linked to the group. Officials say the haul underscores the elaborate nature of such scams, which often use professional looking props and documentation to mislead investors.
The suspects face multiple charges, including obtaining money by false pretenses, conspiracy to defraud, and adulterating minerals without a license. Court proceedings are expected to commence in the coming days.
Authorities say the case is part of a worrying trend in East Africa’s gold trade, where fraudulent schemes have cost investors millions. Between early 2021 and March 2022 alone, gold scams in Uganda and Kenya are believed to have netted fraudsters over $25 million, with some single cases involving losses of up to $8 million.
Officials are urging potential investors to verify the legitimacy of mineral dealers and to work only with licensed entities.
“This arrest sends a clear message that Uganda will not tolerate individuals who tarnish our country’s reputation through fraudulent mineral deals,” the SH ACU said in a statement.