Ndola | January 19, 2026 – A major tax fraud scheme has been dismantled in court, resulting in a multimillion-kwacha recovery order for the state. The Economic and Financial Crimes Court in Ndola has convicted United Chemicals Zambia Limited (UCZ) for fabricating a K19 million export operation to evade taxes.<\/p>\n\n\n\n
Court records show the company systematically filed false documents with the Zambia Revenue Authority between July 2022 and March 2023. The documents falsely declared that multiple consignments of cooking oil were exported by road to the Democratic Republic of Congo. This fabricated export narrative was designed to fraudulently claim zero-rated VAT status on over K19.1 million in sales, illegally depriving the treasury of K10.7 million.<\/p>\n\n\n\n
When confronted with the evidence, UCZ entered a guilty plea to eight counts of Furnishing False Returns and Statements before Honorable Tamara Kakusa on January 19, 2026.<\/p>\n\n\n\n
The court\u2019s sentencing, detailed in the judgment, went beyond a simple fine. Honorable Kakusa imposed a K40,000 penalty and, decisively, ordered full restitution. The company must now pay the evaded K10.7 million directly to the ZRA. A further K400,000 was awarded to the state for prosecution costs, which has since been paid.<\/p>\n\n\n\n
The conviction and substantial financial orders underscore a critical judicial stance: sophisticated commercial tax fraud will be met with consequences that not only punish but actively recover stolen public funds. The ruling demonstrates the court\u2019s role as a final enforcer in the protection of national revenue, ensuring that elaborate paper trails designed for deception lead directly to financial liability.<\/p>\n\n\n\n
About the National Prosecution Authority:
The National Prosecution Authority is committed to the fair, independent, and efficient prosecution of criminal cases in Zambia, upholding the rule of law and protecting public resources.<\/p>\n\n\n\n
Source: Judgment from the Economic and Financial Crimes Court, Ndola (Case Details, January 19, 2026).<\/p>\n","protected":false},"excerpt":{"rendered":"
Ndola | January 19, 2026 – A major tax fraud scheme has been dismantled in court, resulting in a multimillion-kwacha recovery order for the state. The Economic and Financial Crimes Court in Ndola has convicted United Chemicals Zambia Limited (UCZ) for fabricating a K19 million export operation to evade taxes. Court records show the company […]<\/p>\n","protected":false},"author":6,"featured_media":5247,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_eb_attr":"","footnotes":""},"categories":[8],"tags":[],"table_tags":[],"class_list":["post-5597","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"\n