Ugandans lose over sh1b in Capital Chicken fraud incident

According to Police, 41 victims recorded statements while shedding light on the transactions they had with the company.

A statement issued by Police indicated that the money lost amounts to over sh1 billion in a period of three years.

“The Kira Road Police Central Police initiated investigations under case numbers GEF 38/2023 and GEF 39/2023. Statements have been recorded from 41 victims, shedding light on transactions totaling approximately 1,641,376,000 Ugandan shillings. Furthermore, relevant documents pertaining to these transactions have been recovered to aid in our ongoing investigation,” the statement read.

It further read, “Currently, the primary suspects in this case are identified as Wamanga Pius, Sempebwa Ernest, and others. We want to assure the public that this matter is being treated with the utmost seriousness. Our investigators are diligently working to uncover the facts surrounding this alleged fraud.”

It is alleged that between the years 2021 and 2023, Capital Chicken operated an office along Kanjokya Street in Kampala Central Division, where individuals entrusted their money for investment with the promise of returns.

According to the police, this operation appeared to run smoothly, but recently, concerns arose as some members encountered unusual behaviour from the management. Reports indicated that members were being asked to "come back later" when visiting the office for transactions.

On September 29, 2023, the situation escalated when individuals arrived at the office to find it unexpectedly closed. In light of these developments, concerned citizens promptly reported the matter to the police.

A statement issued by the company earlier refuted allegations that it had closed. The statement stated that it had been temporarily closed by the Capital Markets Authority over regulatory concerns.

Pulse Uganda has since learnt that the company’s bank accounts were frozen by the Financial Intelligence Authority as investigations into its operations go on.

The company reassured the public that it would soon open after being cleared by both the Capital Markets Authority and the Financial Intelligence Authority.