This archive report was first published on 13 November 2019.
November 13, 2019, marked a significant day in the ongoing saga of tax evasion and money laundering in Kenya. Samsutech Corporation Limited, a company with ties to Asian tycoon Piyush Patel, has been accused of evading taxes worth over KES 1 billion.
As the sole agent of Samsung in Kenya, Samsutech has been able to claim a lower tax bracket, despite its significant revenue. This has allowed the company to avoid paying its fair share of taxes, a move that has raised eyebrows among tax authorities.
Patel, also known as 'Double P' in the Asian community, has been accused of colluding with senior Kenya Revenue Authority (KRA) officers to facilitate the tax evasion. The two parties allegedly met at the Nairobi Mayfair Hotel, where millions of shillings were exchanged.
Despite the KRA's recommendation to charge Patel with tax evasion, the case remains pending. Patel has been using this time to avoid arrest, hiding in his private residence in Karen and closing his shop on Koinange Street in Nairobi.
Patel's business dealings have also been linked to the downfall of Nakumatt Supermarkets, where he supplied electronics and fridges. His account payments were allegedly used for money laundering, with fellow Asians involved in the scheme.
Samsutech imports and distributes a range of Samsung products, including TVs, fridges, cookers, and microwaves. The company supplies major retailers in East and Central Africa, including Naivas, Tuskys, and Quickmatt.
