The High Court has acquitted Geoffrey Bihamaiso and Oscar Baitwa, directors of Threeways Shipping Services Ltd, in a high-profile fraud case in which MTN Uganda Ltd accused the pair of stealing USD 3.8 million (approximately Shs 13.9 billion). This is the second time in less than a month that MTN is losing case involving over Shs 10 billion.
According to court records, MTN (U) Ltd had contracted Threeways to provide clearing and forwarding services for imported telecom equipment. During their business relationship, MTN alleged that the shipping company submitted false invoices backed by fake airway bills and delivery notes, resulting in fraudulent payouts.
Bihamaiso and Baitwa, brothers and co-directors of Threeways were charged with theft and conspiracy to defraud MTN between 2009 and 2012. The prosecution claimed the money was siphoned into company accounts with the help of two MTN employees; Naphtali Were and John Paul Basabose alongside staff from Threeways.
However, the case faltered. One implicated MTN employee died, and the other entered a plea bargain. Two key Threeways employees; Farida Senkumba and Waiswa Kafuko were discharged under a nolle prosequi and were never called to testify.
As a result, the prosecution leaned heavily on circumstantial evidence and the accused’s status as account signatories.
The defence argued that the accused were unaware of the fraudulent activity and, upon discovering discrepancies, took steps to reconcile the accounts. They also voluntarily committed to refunding USD 300,000 as a gesture of good faith.
“The moment the prosecution opted to discharge Farida Senkumba and Waiswa Kafuko and decided not to use them as witnesses to pin their bosses, the case… became a matter of guesswork,” Justice Lawrence Gidudu said in his ruling.
He added: “The defence evidence to the effect that they were only made aware of the fraud when contacted and took positive steps to settle by committing USD 300,000 and requesting an account reconciliation, which MTN refused—raises reasonable doubt in the prosecution case.”
The judge found that a critical evidentiary link was missing in both counts. The absence of testimony from key figures Were, Basabose, Senkumba, and Waiswa left a significant gap in proving criminal intent or conspiracy.
“It is my finding that the evidence adduced proves that theft of money from MTN (U) Ltd occurred, but it was not stolen by Bihamaiso and Baitwa. It was stolen by insiders at MTN, with possible assistance from insiders at the accused’s company,” Justice Gidudu stated.
He concluded that the accused could not be held criminally liable based solely on their positions or account access.
“Geoffrey Bihamaiso and Oscar Baitwa are acquitted on the charges of theft in count one and also acquitted on the charges of conspiracy to defraud in count two,” the court ruled.
