Valens Kibyeyi arrested for evading taxes worth Rwf 10.4 billion

On 14 January 2021 at 06:16

A businessman from Kigali City identified as Valens Kibyeyi has been arrested in connection with evading taxes worth Rwf 10.4 billion whereby he used different tricks by registering companies to his house workers and potters.

The man born in 1975 resides in Muyumbu sector, Rwamagana district of Eastern Province but runs businesses of selling African print wrappers in Kigali City. His merchandises imported from countries like China are wholesaled to different buyers across the country.

IGIHE has learnt that Kibyeyi has two companies registered to his names since 2016. These include Manual Trading Ltd and Imani textile Ltd but has six more companies which he registered to other persons including domestic workers.

He was heard in tax fraud cases at different times that Rwanda Revenue Authority (RRA) seized his goods in October last year for failure to pay taxes.

At the time, RRA seized 585 bales of made in China African print wrappers worth Rwf 4.3 billion.

The man is said to have opened six companies including two registered to potters, two registered under the names of his domestic workers, one registered to his wife and one registered to his aunt.

He is reported to have used identities of these workers which he presented to start companies in Rwanda Development Board (RDB) without informing owners. Kibyeyi imported goods on behalf of these companies but didn’t pay taxes.

IGIHE has established that one of his companies dubbed ‘Baze Company Ltd’ opened in 2019 was registered to a potter in Quartier Matheus, a commercial center in Kigali City.

The company owes Rwf 188 million taxes to the Government, an amount of money the potter has never possessed.

Nsengimana Martin, 33, is a potter who used to seek job from Kibyeyi. He is considered a business owner since Baze Company Ltd was registered to his names since 22nd October 2019.

“We knew each other as a boss and potter. We didn’t have special friendship. He would ask me to go with him or unload something from his car. I was not aware that Baze Company Ltd is registered to my names until RRA staff came to me. I hardly find food, but was surprised to be shown that I am registered owner of the company. I refused it,” he said.

Nsengimana has told IGIHE that Kibyeyi once asked for his identity card and took a photo of it without telling Nsengimana the reason.

“I used to ask him a job because he is a magnate businessman. He once asked me my identity card. He took its picture and returned it to me. He never gave me further details and I respected him as a boss,” explained Nsengimana.

After learning the company was registered to his names, he sought RRA support to get it unregistered to him.

The spokesperson of Rwanda investigation Bureau (RIB), Dr Murangira B. Thierry has confirmed that Kibyeyi was arrested on 11th January 2021.

“The accused is detained at Kimihurura RIB station. He is investigated for two crimes including illegal acquisition of another persons’ item and identity fraud,” he said.

Dr Murangira has explained that his files will be transferred to the prosecution in due course.

RIB has revealed that investigation has been launched against more business persons involved in tax fraud noting that people should stand against such vice lest they are held accountable.

Valens Kibyeyi has been arrested in connection with evading taxes worth Rwf 10.4 billion.