The Keroche Brewery tax dispute is still ongoing, and the company is now pursuing legal action against the Kenya Revenue Authority Commissioner-General for contempt of court.
It asserts that the ongoing closure is political and costs them millions of shillings each month.
KRA was ordered last week by Justice Alfred Mabeya to reopen the stores, packaging line, and Excisable Goods Management System. The company was also ordered to pay Sh8 million within seven days, followed by a similar sum each month.
To appeal the order, KRA filed a certificate of urgency on Monday, but Justice Mshila Abigail denied the request and referred the case to Justice Mabeya.
In a press conference in Naivasha, the CEO of the brewery, Tabitha Karanja, attacked KRA, claiming that it had personalized the situation and disregarded a court order.
“We used loans to build this facility over a 25-year period, but a small number of people want to use KRA to take it back, which we will not permit.” The woman said.
An upset Karanja vowed to keep going, noting that the factory had been shut down for eight months on dubious justifications.
We acknowledge that we owe KRA Sh322 million in unpaid taxes and are prepared to do so when we resume operations, but we are concerned about KRA’s disregard for court orders, the woman said.
She claimed that KRA is losing Sh200 million from the business each month and added that the closure had forced the company to send over 400 employees on unpaid leave.
According to Karanja, the closure caused the company to suffer significant losses due to the ready-to-package liquor, the loss of raw materials, accruing interest, and the loss of the market.
According to the workers’ representative John Otieno, the current KRA regime has caused hardship for hundreds of families and businesses.
He claimed that by disobeying court orders, the KRA top brass had set a poor example and that their employees were suffering greatly.
“Allowing us to operate will allow us to pay the Sh8m as ordered by the court and allow the families to continue earning a living,” he said.