On 21 November 2018, Mastermind Tobacco returned to court as the Kenya Revenue Authority pushed to recover Ksh 1.99 billion in unpaid taxes from the cigarette maker owned by businessman Wilfred Murungi.
The company had moved to stop auctioneers from seizing its assets after KRA began enforcement action over the tax arrears. In court, the dispute was framed as one that could be resolved through negotiations rather than immediate execution.
Lawyer Macharia, appearing for Mastermind, told the court: “The negotiations are ongoing and we request to come back for a mention on December 5, 2018 to record a consent or report on progress and extension of the orders,”
KRA’s counsel agreed to the request, leaving the matter to be mentioned again on 5 December 2018. The arrangement effectively gave the parties more time to pursue an out-of-court settlement while the tax claim remained unresolved.
The archive account also reflects wider criticism of KRA, with allegations that some officials collude with tax evaders and fail to explain their wealth. Those claims were not tested in the article, but they formed part of the commentary surrounding the Mastermind Tobacco dispute.
Mastermind Tobacco’s court move came after the taxman sent auctioneers to recover the alleged debt, underscoring the scale of the standoff between the company and the revenue authority.
