More than 400 workers at the Naivasha-based Keroche Breweries breathed a sigh of relief after a court ordered the company’s reopening pending the hearing and determination of a case filed by the brewer.
However the Kenya Revenue Authority moved to the High Court on 18th July 2022 to vacate and set aside an order issued on 15th July 2022 in HCCC NO. E250 OF 2022 Keroche Breweries Limited vs Kenya Revenue Authority, which directed the reopening of the brewer.
“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,” the taxman said in a statement.
Court Orders Reopening of Keroche Brewries
In a matter heard virtually, High Court Judge Alfred Mabeya of the Milimani Commercial Division directed KRA, its officers, associates and agencies to “unseal the packaging line and stores”.
The court further directed the taxman to reactivate the exercisable goods management systems (EGMS) and allow the company to continue with its business.
“The honourable court be pleased to, and hereby, issue orders restraining the respondent (KRA), its officers, associates, partners and those acting through it from closing, interfering with, disrupting the business of the applicant pending the hearing and determination of the application of the inter parties,” read the court order.
The court further ordered KRA to file and serve a replying affidavit within 14 days.
“That within 30-days thereafter, the parties do file and serve their respective submissions on a 15-day basis beginning with the applicant,” read the court order.
The court also ordered Keroche to pay KRA Sh8 million as the first instalment of tax arrears within seven days and thereafter pay a similar amount on the 30th day after such payment until the hearing date.
The case will be mentioned on September 22, 2022.
Read also; Keroche Lays off 400 Employees Amidst KRA Closure Over Fresh Tax Disputes.
