KRA uncovers smartphone customs fraud at Eldoret airport, foils Sh50 million revenue loss

The Kenya Revenue Authority (KRA) has uncovered a significant customs fraud scheme at Eldoret International Airport, thwarting a potential Sh50.4 million revenue loss. The consignment, part of a larger cargo of smartphones and assorted goods, contained 52,607 more ordinary smartphones than declared, as well as 309 high-end smartphones that were not declared at all.

The unreported devices included premium models such as the Samsung Galaxy S26 Ultra, Samsung Galaxy Z Fold, and Apple iPhone 17 Pro Max. KRA investigators received intelligence about the consignment and conducted a targeted verification, discovering a substantial discrepancy between the declared and actual quantities of smartphones.

The under-declaration of 52,607 units and the undeclared high-end smartphones constitute a violation of Section 203 of the East African Community Customs Management Act, which criminalises false or incorrect Customs entries and fraudulent duty evasion. The KRA is currently investigating the incident to determine the full extent of the fraudulent activity, identify those involved, and assess whether it is part of a larger network.

Individuals found guilty may face prosecution. The authority has appealed to the public for information on suspected customs fraud and emphasized its commitment to protecting government revenue and ensuring compliance.