A businessman named Elijah Martin Rusoke, also known as Albert Kamugisha, has been detained until September 12 on allegations of defrauding a Kenyan investor of Shs 1.3 billion.
Rusoke appeared before the City Hall court on Wednesday, where he faced charges of obtaining money by false pretense and conspiracy to commit a felony.
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He is co-accused with Issa Muwonge, who did not appear in court before grade one magistrate Edgar Kakaire.
The prosecution contends that between July and August 2022, at Musangala and Co Advocates in Kampala, Rusoke and Muwonge falsely represented that their company, Sagoo Electrical Uganda Limited, had been awarded a contract by the NRM contracts committee to supply generators for purportedly under-construction hospitals in the country.
They are accused of obtaining $361,151.79 (approximately Shs 1.3 billion) from James Mirimi, a Kenyan investor.
Rusoke has pleaded not guilty to the charges and has been remanded in custody as investigations continue. His arrest was a result of the collaboration between the State House Anti-Corruption Unit and the police.
Evidence presented in court indicates that the accused held multiple meetings at Parliament and Sheraton hotel, during which they signed a contract purportedly worth $18 million (about Shs 65 billion).
It is alleged that Rusoke informed the Kenyan investors to make a 2 percent deposit, after which they would receive 70 percent of the total contract amount.
The Kenyan investors deposited $361,151.79 into the account of Musangala Advocates and Solicitors.
They were supposed to make the 70 percent payment on September 21, 2022, but went into hiding until the arrest of some of the suspects, including Rusoke and Muwonge. Muwonge had been charged and released on bail approximately a year ago.