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Keroche CEO Tabitha Karanja's message to ex-KRA boss Githii Mburu after exit

"To my friend CG - Githii Mburu I wish you all the best in your future endeavor."

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by SHARON MWENDE

Big-read23 February 2023 - 18:46
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In Summary


  • The Senator and Mburu were embroiled in a protracted court case after the KRA pressed tax evasion charges against her in 2020.
  • The three-year-old case has been pending at Milimani Chief Magistrate's court since August 23, 2020.
Keroche Breweries CEO, Tabitha Karanja

Keroche Breweries CEO Tabitha Karanja has penned a message to the former KRA boss Githii Mburu, following his exit.

In the statement posted on her official Twitter page, Karanja shared what she termed her favourite Bible verse with Mburu.

"As you exit the stage to pave way for the new leadership at Kenya Revenue Authority, I wish to share with you my favourite bible verse in the book of Mathew 7:12 "Do to others whatever you would like them to do to you"," she said.

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The Nakuru Senator added:

"To my friend CG - Githii Mburu I wish you all the best in your future endeavours."

The two are not strangers.

The Senator and Mburu were embroiled in a protracted court case after the KRA pressed tax evasion charges against her in 2020.

The three-year-old case has been pending at Milimani Chief Magistrate's court since August 23, 2020.

The taxman has shut down the factory multiple times since 2021.

Between December 7, 2021, and January 28, 2022, KRA shut down operations at the factory several times and issued agency notices to banks.

On March 2022, the factory and the tax agency, brokered a deal temporarily settling disputes that had been going on in the previous years.

The agency agreed to have the factory resume its operations after they agreed that Keroche was going to settle its close Sh957 billion tax liability in two years. 

"The payment plan which is contained in an addendum agreement to the two Alternative Dispute Resolution (ADR) Agreements signed between the two parties in 2021 was arrived at and signed on March 14, 2022, after week-long negotiations," KRA said. 

In 2022, the Authority shut down the company six times, for defaulting on an earlier agreed plan to repay tax arrears totalling Sh300m.

Speaking on July 21, Karanja said the only way the company was going to pay the taxes accrued, is if it is operational.

"We reiterate our commitment to pay all the taxes due and owing to KRA and we respectfully urge them to allow us to do the business that would unfailingly generate the money to pay off the owed taxes, the current taxes and the future taxes," she said then.

On July 29, KRA opened Keroche following a court order issued on July 14, after having shut it down for the sixth time in June 2022.

In September, the taxman accused the brewery of failing to make the required payment, agreed upon prior to reopening in July.

According to the KRA, Keroche was to pay Sh8 million on Aug 6, Sh 8 million on Aug 30 and taxes worth Sh14.2 million, which were yet to be paid by the time.

"Keroche Breweries Limited has been adamant in disregarding the court order of July 14," KRA's application to the court read.

KRA further said despite issuing letters demanding the payment of the taxes from Keroche on July 21, August 3, August 15, and August 24, the brewer had failed to comply with the order and pay any taxes as ordered or when they fall due.

"Keroche Breweries Limited has now proceeded to decline to comply with their obligations under tax law and due dates to accounting for tax being the end of the month,'' KRA said in a court petition. 

Following the petition, Keroche was summoned to physically appear in court on October 27, 2022.

Come 2023, the case is still ongoing.

On February 7, the court ordered the DPP to supply copies of witness documents in the Sh 14.5 billion tax evasion case against Keroche.

Karanja has since denied ten counts levelled against her by the State.

The case will be mentioned on March 13, for purpose of confirming whether the prosecution has supplied all documents to the defence.

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