Lamborghini tax evasion case: DPP discontinues charges against Azruddin Mohamed to facilitate US extradition

The Director of Public Prosecutions (DPP), has discontinued charges filed against United States (US)-sanctioned and indicted businessman Azruddin Mohamed, who is currently the subject of an extradition request from the US.
This decision comes about one week after the Guyana Revenue Authority (GRA) confirmed that tax charges against Azruddin Mohamed and his father, Nazar Mohamed were withdrawn and discontinued due to a request from the US for their extradition.

The charges related to tax evasion following the purchase and importation of a Lamborghini were withdrawn in accordance with Article 187(1)(c) of the Constitution of Guyana.
The offences included making a false declaration to the Revenue Authority, contrary to Section 217(1)(a) of the Customs Act, Chapter 82:01, and knowingly being concerned in fraudulent evasion, contrary to Section 218(e) of the same Act.
According to the DPP, the charges were filed before the Government of Guyana received a formal extradition request from the Government of the US for Mohamed.
The statement explained that the discontinuation was made “in light of this extradition request and the hearing of the said extradition request, and taking into account all relevant legal principles, including international comity, appropriateness, and fairness to the defendant.”
The GRA had instituted criminal charges against Mohamed in May after the Authority had received official documentation from the US Department of Justice (DOJ) showing an invoice from International Speed Consulting Inc billed on October 7, 2020 for the payment of US$695,000 for the Lamborghini. The invoice was stamped as paid. The particulars of the Lamborghini identified in the invoice were the same as Mohamed’s Lamborghini.
The US$695,000 payment exceeds the US$75,300 value for the vehicle that Mohamed declared in his tax filings for the vehicle. However, it was not until May 13 that the GRA received the evidence.

Defraud US & Guyana
The Mohameds are accused of conspiring to defraud the US and Guyanese Governments between 2017 and June 11, 2024. The father-son duo is accused of using a scheme to unlawfully obtain property by transmitting communications via interstate and foreign commerce in violation of US laws. According to the prosecutors, the goal was to enrich themselves and defraud the Government of Guyana by evading taxes and royalties on gold exports. They allegedly reused Guyana customs declarations and official seals on multiple shipments to make it appear that taxes and royalties had been paid when they had not. The indictment stated that Mohamed’s Enterprise would pay taxes and receive official Guyana Revenue Authority (GRA) and Guyana Gold Board (GGB) seals for one shipment, then reuse those same seals and documents on subsequent, untaxed shipments.
The indictment further alleges that the Mohameds arranged for empty wooden boxes bearing intact GRA and GGB seals to be shipped from gold buyers in Dubai to Miami and then sent to Guyana. These boxes were then used to export gold while falsely appearing to have cleared customs and tax obligations. US authorities allege the scheme resulted in more than US$50 million in lost taxes and royalties to the Government of Guyana.
Additional indictments detail similar conduct involving shipments of gold, emails allegedly from Nazar Mohamed requesting the sealed boxes from Miami, and exports of over 165 kilograms (kg) of gold per shipment destined for Dubai. Charges six to nine focus on mail fraud, referencing the shipment of sealed empty boxes from Dubai to Miami, while charge 10 addresses money laundering, which alleges that the Mohameds knowingly transferred funds within the US with the intent to promote unlawful activity. The other charge has to do with Azruddin Mohamed purchasing and importing a Lamborghini sports car to Guyana in 2020. The indictment states that he directed someone to purchase the car for US$680,000, then falsify the invoice to state a value of US$75,300 to understate import taxes. The sanctioned businessman, who is also the leader of the We Invest in Nationhood (WIN) party, is presently before the local courts in relation to the importation of the sports vehicle and, more so, for evading more than $380 million in taxes in violation of Section 217 of the Customs Act. He has also been charged with fraudulent declaration under the same act.

Forfeiture of certain assets
The US Government is seeking forfeiture of certain assets connected to the accused. If convicted, most charges carry a maximum sentence of 20 years in prison and fines of up to US$250,000, while the money laundering charge carries a fine of US$500,000 or the value of the laundered property. The indictment follows sanctions imposed over a year ago by the US Government on the Mohameds, their businesses, and Permanent Secretary (PS) Mae Thomas in relation to the same allegations. The sanctions are related to the evasion of taxes on gold exports, with OFAC noting that between 2019 and 2023, Mohamed’s Enterprise omitted more than 10,000 kg of gold from import and export declarations and avoided paying more than US$50 million in duty taxes to the Government of Guyana. Since the imposition of the sanctions, the Guyana Government had suspended the licences of the Mohameds’ various businesses, highlighting that the US-sanctioned businessman is a risk and a threat to Guyana’s financial stability, sovereignty, and diplomacy. Subsequently, several Government entities and local businesses, including commercial banks, have cut ties with the Mohameds.