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Keroche Owners Arrested Over Sh14 Billion Tax Evasion Allegations

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Nyakundi Report

Newsroom 1 min read

This archive report was first published on 23 August 2019.

On August 22, 2019, police officers from the Directorate of Criminal Investigations and Kenya Revenue Authority (KRA) laid siege to the Naivasha-based factory of Keroche Breweries, arresting the company's owners, Tabitha Karanja and her husband Joseph Karanja.

The arrests followed an order by Director of Public Prosecutions (DPP) Noordin Haji after the couple was accused of failing to pay taxes amounting to Sh14 billion from 2015, an allegation they deny.

According to the DPP, investigations had revealed that the company evaded paying Sh12.34 billion Value Added Tax, Sh329.4 million for stamps, and Sh135.4 million for Crescent Vodka among other products.

Additionally, the DPP claimed Keroche owes the taxman Sh41 million in stamps, Sh55 million on Crescent Vodka, Sh233 million on Vienna Ice with quantity variance, and Sh1.5 billion with rate variance.

The couple was taken to Nairobi while two security managers from the company were driven to Naivasha Police Station and will be charged with obstruction.

Speaking on phone, Mr Karanja said he is a law-abiding citizen and is ready to face any charges, adding that the truth will set them free as they have not defaulted in paying taxes as alleged.

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