KRA Responds to Court Directive on Reopening of Keroche Breweries

A file image of the reception area at KRA offices in Nairobi. [Photo | Courtesy]

The Kenya Revenue Authority (KRA) has responded to orders issued by the High Court directing the reopening of the Keroche Breweries plant in Naivasha.

Through a statement dated Tuesday, July 19, KRA argued that the orders issued by the High Court breached the initial agreement struck by the two parties.

“The Kenya Revenue Authority has today, 18 July, 2022, moved to the High Court to vacate and set aside an order issued on 15 July 2022 in HCCC NO. E250 of 2022 Keroche Breweries Limited vs Kenya Revenue Authority, which directed the reopening of Keroche.”It is the Authority’s view that the case filed in court by Keroche and the orders sought go contrary to previous orders issued by the same court and the consent agreements arrived at and signed by the two parties,” KRA’s statement read.

On May 15, the taxman ordered the closure of the brewer after failing to honour a repayment plan that would have seen it settle Ksh957 million in two years.

Responding to KRA, Keroche stated it could not honour the payment schedule.

The brewer blamed the failure on the country’s economic downtime.

But the court struck another agreement requiring Keroche to make Ksh8 million the first installment to offset the arrears and pay a similar amount every month until the next hearing.

Keroche Chief Executive Officer, Tabitha Karanja, responding to the closure, announced that the brewer would lay off 400 workers.

“I was thinking aloud on Sunday afternoon and pondering how I will relay the painful message to our employees on Monday that we will be laying them off as a result of KRA’s closure. I was also at pains as I looked at all the beer in the tanks that we shall be forced to drain to waste,” Tabitha stated.

“It should be of their concern that about 400 direct and thousands of other indirect jobs are on the brink of being lost. They will be joining millions of other jobless Kenyans.”

Tabitha is vying for the Nakuru senatorial seat on a United Democratic Alliance (UDA) party ticket affiliated with Deputy President William Ruto.

Be the first to comment

Leave a Reply