New twist as Keroche boss Tabitha Karanja is charged afresh in Sh14billion tax evasion dispute
Nakuru Senator and Keroche Breweries Limited Chief Executive Officer (CEO) Tabitha Karanja Keroche boss Tabitha Karanja has today been charged afresh in the Sh14billion tax evasion dispute pitting her against the Kenya Revenue Authority (KRA) after the state amended the charge sheet.
While appearing before the Milimani Law Courts Senior Principal Magistrate Esther Kimilu, the business mogul-cum political greenhorn denied all ten counts of tax evasion.
This is after the prosecution requested to amend the charges.
However, the defence told to the court that they seek to settle the matter out of court.
The court gave Tabitha 45 days to resolve the matter with the taxman through Alternative Dispute Resolution (ADR) failure to which the matter will proceed to full trial.
“We have already initiated the process of settling the matter with KRA and if the court allows, we wish to have the matter settled.” The court heard.
In the amended case, Tabitha’s husband Joseph Karanja Muigai has been removed since he is battling health issues.
While presenting the new charges before the magistrate, state prosecutor Irene Muthee, said it is only her and Keroche Breweries Limited (KBL) who have been named in the fresh indictment.
The fresh charges emanate from the prosecution’s request to amend the earlier charge sheets to remove his name.
Tabitha denied all the ten counts filed against her for fraud in relation to tax declarations on beer production and the dutiable amounts in Value Added Tax (VAT) and Excise Duty Returns to the Commissioner KRA.
She is accused that on diverse dates between February 15, 2015 and January 20, 2016, being a director of Keroche, she made incorrect statements in Excise Duty Returns by under declaring production volumes by 820,601 litres of Viena Ice beer brand by using Sh27.06 instead of Sh175, thereby reducing duty by Sh1.8 billion.
Another charge stated she under-declared the production of Viena Ice by 2,005,191 litres, causing the government to lose Sh1 billion. She had allegedly used Sh41.62 instead of Sh210.40 thereby reducing the VAT payable.
Keroche’s lawyers informed the magistrate that the accused wants the matter resolved out of court. However, Irene Muthee, a KRA officer, told the court that there was no agreement to settle the matter out of court because Keroche would be required to notify the commissioner in writing under the Tax Procedure Act.
The court ruled that if ADR fails, the case will go to full trial from July 26 and 27, 2023.
