Billionaire Humphrey Kariuki may soon lose his firm, Africa Spirits Limited, to KRA as the revenue authority targets to recover Ksh6 billion tax that was lost in the manufacturer's tax evasion scheme.
“The law is very clear; if you are caught with fake stamps and once we have legally verified that a law has been broken, Section 31 of Finance Act 2018 gives us powers to seize the plant and the goods,” KRA Commissioner for Intelligence James Mburu told Nation.
Detectives have also summoned KRA officials for questioning over the close similarity of the fake stamps uncovered at the plant and the genuine ones.
Also being questioned are officials from Sicpa, the contracted manufacturer of KRA stamps.
“It is only KRA which could import revenue stamps into Kenya and they come directly from Sicpa’s factory. How any manufacturer could have reels that have not been entered into our system is a mystery,” Mburu stated.
The Thika plant is one of the largest alcohol manufacturing firms in East Africa.
Ironically, the company has been one of the most vocal alcohol manufacturers regarding the crackdown on illicit brews.
For years, the company’s PR department and senior managers had been in the news asking for the tightening of rules on ethanol trading and protection of the industry from counterfeiters and tax evaders.
When KRA announced tighter rules on ethanol sale, the firm's Corporate Affairs Manager Anthony Kagiri stated “We have always called for stricter regulation on the supply of ethanol in this country and we are glad the government is now taking action."
He added that the company supported KRA in ensuring accountability of the key ingredient in the manufacture of alcohol.
