This archive report was first published on 22 August 2019.
On August 22, 2019, the Director of Public Prosecutions ordered the arrest and prosecution of Keroche Breweries owners Tabitha Karanja and her husband Joseph Karanja over alleged evasion of taxes amounting to Ksh.14.4 billion.
The alleged evasion of tax payment by Keroche Breweries Limited occurred between January 2015 and June 2019.
However, Tabitha Karanja, the CEO of Keroche Breweries, has strongly denied the allegations, saying they are baseless and without facts.
"We are deeply shocked beyond imagination by both the allegations made and the manner at which the matter has been handled from the dissemination of the information," Karanja said in a press statement.
She further stated that the only dispute Keroche Breweries has with the Kenya Revenue Authority (KRA) is on the applicable rate on Viena Ice ready to drink vodka, which is presently ongoing at the tax appeals tribunal.
"What we do to make Vienna Ice ready to drink vodka is exactly the same way a consumer would walk into a bar or restaurant buys 180ml crescent vodka (6-tots) to mix with water to achieve 13.5% alcohol content without paying extra tax," Karanja added.