The Namibian Revenue Agency (NamRA) has uncovered a fraudulent scheme linked to the Mass Tax Refund Initiative currently being implemented.

According to the agency's Chief of Strategic Communications and Support Engagements, Yarukeekuro Ndorokaze, the scheme, detected between January and April, resulted in the illicit payout of tax refunds worth over N$666,000.

Ndorokaze said a NamRA worker involved in the scheme was suspended, and a Ministry of Finance official's secondment was reversed.

Three other suspects have been arrested and appeared in the Windhoek Magistrate’s Court last week.

An internal investigation revealed that recently registered taxpayers, predominantly unemployed individuals with no tax liability, were fraudulently processed for refunds for periods dating back to 2011.

The investigation further revealed that the affected persons were, in most cases, unaware of the registrations' completion.

Once the refunds were paid out, the money was distributed among the perpetrators, including through mobile and wallet banking platforms.

NamRA strongly cautions the public to exercise vigilance and not to provide personal banking details or identification documents to third parties for tax-related transactions.