Makindye Magistrates Court has remanded a businessman accused of defrauding Dubai-based investors in a multi-billion shilling fake gold deal.
Muhammad Ali was remanded until May 5, 2026, after appearing before court on charges of theft and cheating.
The court heard that Ali was arrested following investigations by the Criminal Investigations Directorate (CID) and the Office of the Director of Public Prosecutions (ODPP).
Prosecution alleges that between September and October 2025, Ali who was then a manager at Duck Hunters Security Company together with others still at large defrauded Dubai-based investors of USD 3.5 million about Shs 13 billion through fraudulent gold transactions.
Court records indicate that the investors had travelled to Uganda in search of gold suppliers and were introduced to several dealers by the suspect. They first purchased 10 kilogrammes of gold worth USD 700,000 from Spanex Ltd.
It is further alleged that Ali later convinced them into a second transaction involving 30 kilogrammes of gold purportedly supplied by a military officer at a cost of USD 2.4 million.
The gold was tested at Azzura Refinery before being stored at Duck Hunters Security Company pending export to Dubai. However, the consignment later disappeared under unclear circumstances.
The investors reportedly returned to Uganda only to discover they had been defrauded.
Authorities say investigations are ongoing into the operations of the companies involved and possible links to security personnel with efforts underway to apprehend other suspects.
