A wealthy businessman challenging Guyana’s president in an upcoming election faces new allegations

GEORGETOWN, Guyana — A prominent businessman in Guyana who was sanctioned by the U.S. last year and is set to challenge the country’s president in the upcoming elections is facing fresh allegations.

Azruddin Mohamed made a court appearance on Thursday following charges of false tax declaration and under-invoicing a luxury vehicle. He pleaded not guilty.

This development comes shortly after his announcement of plans to contest the ruling People’s Progressive Party by establishing a new party with numerous candidates as Guyana, known for its oil reserves, gears up for the general election on Sept. 1.

Mohamed, a scion of one of Guyana’s affluent families, was previously a notable donor to the ruling party. However, he recently found himself at odds with tax authorities over a past invoice that indicated a $75,000 payment for a Lamborghini, a figure disputed by the government which valued the vehicle at $575,000.

He was released on a $2,500 bond on Thursday and is slated for trial next month. A conviction could result in a three-year prison sentence.

Mohamed, who has been traversing Guyana to donate money, vehicles, and homes ahead of the Sept. 1 election, alleges that he is being singled out for challenging the ruling party.

He has accused President Irfaan Ali, a former close associate, of permitting his vehicle’s customs clearance based on the submitted valuation.

Ali has not publicly addressed these allegations. Meanwhile, Attorney General Anil Nandlall refuted claims of targeting Mohamed, stating that the U.S. provided evidence, including the vehicle’s receipt.

In the previous year, the U.S. Treasury Department sanctioned Mohamed, his father, their gold-exporting business, and a government official for their involvement in public corruption related to a bribery scheme spanning from 2019 to 2023.

U.S. authorities accused the Mohameds of dodging $50 million in duty taxes on gold exports and underreporting exports involving over 22,000 pounds (10,000 kilograms) of gold. Their company was also accused of bribing customs officials to manipulate export documents.