Latest update March 27th, 2026 12:40 AM
GRA drops $191B Mohameds tax case ahead of US extradition
(Kaieteur News) – The Guyana Revenue Authority (GRA) has withdrawn and discontinued all tax-related charges against sanctioned businessmen Nazar and Azruddin Mohamed, in light of ongoing extradition proceedings initiated by the United States Government.
Nazir Mohamed
The decision was announced on Thursday, a week before the two men appeared before the Georgetown Magistrates’ Court in connection with the extradition request.
On Friday last, Nazar and Azruddin were arrested separately by local law enforcement authorities following a formal extradition request from the U.S. Government. They were brought before the Georgetown Magistrates’ Court, where they were each granted bail in the sum of $150,000. The extradition request stems from an 11-count indictment filed in the U.S. Southern District Court of Florida, which includes charges of wire fraud, mail fraud, money laundering, conspiracy, aiding and abetting, and customs-related offences linked to an alleged US$50 million gold export and tax evasion scheme.
Prior to these developments, in October, the GRA had accused the Mohameds, owners of Mohamed’s Enterprise, of massive underreporting of income between 2019 and 2023, resulting in billions of dollars in unpaid taxes. In a letter dated October 2, 2025, the GRA demanded payment of taxes arising from $34 billion in understated income declarations for the same period. With accumulated interest and penalties, the total amount owed to the State reportedly stood at more than $191 billion. Formal tax evasion charges were subsequently filed on October 24.
Businessman Azruddin Mohamed
When the matter was called on Thursday before Acting Chief Magistrate Faith McGusty, the court was informed that the GRA had withdrawn all charges related to tax evasion. The prosecutor did not initially provide a reason for the withdrawal, and Magistrate McGusty accepted the GRA’s decision, resulting in the dismissal of the case. The Mohameds were represented by attorneys Siand Dhurjon and Damien Da Silva.
Shortly after the court proceedings, the GRA issued a public statement explaining its decision. The agency noted that it had received legal advice to withdraw the case in light of the Government of Guyana’s decision to proceed with the U.S. extradition request. “In light of this extradition request and Government of Guyana’s decision to proceed with the said extradition request, and taking into account all relevant legal principles, including international comity, appropriateness and fairness, these charges were withdrawn and discontinued,” the GRA stated.
Kaieteur News speaking with attorney Damien Da Silva, he explained that the defence believed that GRAs’ withdrawal of the matter was necessary to avoid complications with the extradition process. He noted that the existence of pending criminal proceedings in Guyana could interfere with extradition under the treaty provisions between Guyana and the United States. “We strongly believed that they are trying to focus more on the extradition proceedings. There would be an issue when those having a pending charge; it could affect the extradition process. There is some requirement that they must not have pending criminal matters in the requested jurisdiction,” he explained.
Although the tax-related charges have been dismissed, Attorney General and Minister of Legal Affairs, Anil Nandlall, SC, emphasised that the GRA still retains full authority to recover all outstanding taxes owed by the Mohameds. “For the avoidance of doubt, extradition apart, the State of Guyana retains its full plenitude of legal powers to secure all taxes due, owing and payable, and intends to do so, in accordance with law,” he said.
Vice President Bharrat Jagdeo during his Thursdays’ press conference echoed similar sentiments of Nandlall stating, “You have to pay the taxes. They got the demand notice for the $191 billion already…that’s calculated based on the penalties, that’s not going to stop.”
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