Reading: DPP Drops Fraud Charges Against Businessman Richard Kaliisa

DPP Drops Fraud Charges Against Businessman Richard Kaliisa

Richard Kaliisa in the dock at Buganda Road Magistrate's Court in Kampala where he was charged with obtaining money by false pretense. PHOTO/ RUTH ANDERAH : 27/05/2024

Published on 08/09/2025

Director of Public Prosecutions has dropped criminal charges against businessman Richard Kaliisa after a protracted legal battle.

A court document signed by Justice Jane Frances Abodo on August 21 informed the trial magistrate that the state had decided to discontinue proceedings.

“This is to inform this court that the Director for Public Prosecutions has decided to discontinue proceedings against Kaliisa Richard, who had been charged with obtaining money through false pretense,” the document reads in part.

DPP Drops Fraud Charges Against Businessman Richard Kaliisa
The Director of Public Prosecutions has discontinued proceedings against businessman Richard Kaliisa, ending a long-running fraud case that legal observers say highlights the blurred line between civil disputes and criminal prosecutions in Uganda.

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Justice Abodo has since been appointed as the Principal Judge.

Kaliisa had been accused by fellow businessman Matovu Yassah Sseguya of fraudulently obtaining $83,000 (Shs290 million) in a deal to import two luxury vehicles from Dubai.

Court records show that the two men signed investment agreements, pooling resources to import the cars and share profits.

The partnership later collapsed into a criminal complaint after Sseguya alleged that Kaliisa failed to deliver.

Kaliisa, however, petitioned the DPP, arguing that the police had mishandled the matter and criminalized what was essentially a business dispute.

Speaking after the DPP’s decision, a relieved Kaliisa said Sseguya had already been fully refunded and questioned why he would deny receiving the money.

“Justice has finally been served today. I thank the DPP and the Court for clearing my name,” Kaliisa said, adding that he was considering seeking damages for what he called malicious prosecution.

Civil vs Criminal Line

Legal analysts say the case underscores a recurring problem in Uganda’s justice system: the tendency for commercial disagreements to be framed as criminal fraud.

Lawyers note that complainants often push police to treat failed business transactions as crimes, a practice that can result in lengthy prosecutions even where evidence suggests the matter is civil in nature.

The DPP’s office has repeatedly intervened in such cases, using its constitutional powers to withdraw charges where it deems that police investigations have overstepped. Under Ugandan law, the offence of “obtaining money by false pretenses” requires proof of deliberate deception, not just a business failure.

Many of these cases arise from sour business deals that should be settled in civil court.

The DPP has the responsibility to ensure criminal law is not misused to settle private disputes.

By halting proceedings against Kaliisa, the DPP has reaffirmed that distinction, but the case also revives debate on whether the police should adopt stricter internal guidelines to prevent the criminalization of contractual disagreements.

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