Mukesh and Company Charged with Defrauding Alvi Auto in Fraud Scheme
Court hears Mukesh allegedly obtained $27,950 from Alvi Auto through false leasing claims
Mukesh, along with his company Shumuk Investments Limited, has been arraigned in court on charges of obtaining money by false pretenses and conspiracy to defraud. The case was heard on Wednesday, presided over by Chief Magistrate Elias Kakooza.
The charges stem from allegations that Mukesh, together with his employees—Judith Ayebare, the manager, and Kadikar Dramdip Anilkumar, the accountant (who remain at large)—defrauded Alvi Auto Village Limited of over $27,950 (Shs 105 million) and an additional Shs 116 million. The scheme involved falsely claiming to lease two plots of land to Alvi Auto, even though no such plots existed for rent.
The crime is said to have occurred between November 2020 and November 2021, in areas around Banda Industrial Area and Nakawa Industrial Area, Kampala. Mukesh was arrested earlier on the day of the hearing and immediately brought before the court, where he denied the charges. His lawyer, Patrick Bwango, applied for bail on his behalf, arguing that Mukesh is an upstanding community member with a long history of public service, including serving as LC 2 Chairman for over 20 years.
Bwango stated that Mukesh, aged 61, is a family man with a permanent residence and that the charges do not involve violence. He further mentioned that a civil suit was already pending before the Commercial Court regarding the matter. Mukesh also expressed a willingness to reconcile with the complainant, offering a gesture of good faith by proposing a Shs 20 million deposit.
However, the prosecution, represented by Kuluthum Mariam, requested an adjournment, citing the need to review the voluminous case file and ongoing investigations, as several suspects remain at large. Mukesh’s bail application was deferred, and he was remanded until May 17, 2024.
The case revolves around allegations that Mukesh’s company, Shumuk Investments, entered into a fraudulent agreement with Alvi Auto Village Limited. In October 2020, employees of Shumuk allegedly convinced Alvi Auto’s director, Shahid Mahmood Alvi, to rent plots 148/253 for a car bond warehouse, despite the plots being non-existent or unavailable for such use. Alvi Auto paid Shs 195 million in advance rental fees, but construction on the plots was never initiated, leading Alvi to request a refund.
When no refund came, and after discovering the plots’ ownership issues, Alvi agreed to a new tenancy deal for a different plot. However, Mukesh demanded additional payments, further complicating the situation. After no developments on the land by November 2021, Alvi lodged a complaint with the Criminal Investigations Department (CID), resulting in the current criminal charges.
Mukesh’s past also includes a 2022 conviction for false document use regarding the fraudulent handover of Hotel Diplomat Muyenga, which added to his negative reputation. Despite his plea for reconciliation, Alvi Auto representatives argue that Mukesh’s offers of mediation are merely tactics to delay justice.
Both criminal and civil proceedings are now in process as Mukesh faces serious allegations of fraud, with court proceedings continuing.
