Why Joho's Businesses Were Closed - KRA

The Kenya Revenue Authority (KRA) has issued a statement explaining why Mombasa Governor Hassan Joho's business at the Mombasa Port was closed.

In a press release, KRA Commissioner General John Njiraini stated that the move was prompted by an initiative to streamline operations at Container Freight Stations (CFSs).

“Suspension of licenses for Customs Bonded Facilities is an action routinely used to enforce compliance with Customs requirements,”

Njiraini dismissed earlier allegations that the revenue body did not provide an explanation for the closure of Joho's Autoport and Portside Container Freight stations, highlighting: “the grounds for the actions taken have been provided in the letter communicating the decision and signed by the Commissioner of Customs and Border Control”.

The taxman added that he could not publicly discuss the reasons for the action taken as it would be against the stipulated rules.

Njiraini noted that the current investigation conducted by KRA had revealed that some of the stations were evading to pay taxes.

“ Such acts incude facilitating the importation of contraband goods including sugar, rice, ethanol and other highly sought after commodities.

The closure of Joho's business sparked rage on Friday with CORD leader Raila Odinga weighing in on the matter stating that President Uhuru Kenyatta was punishing the Mombasa Governor for being in the Opposition.

In a press statement, Odinga said that the move to close Joho's business was one of the “bullying tactics being employed by the National Executive particularly to bully governors from the Opposition”.

The former Prime Minister linked the closure to the Mombasa Governor's public criticism of President Kenyatta, when he accused the Head of State of snubbing him while on his Coast visit.

Read Also: Raila Criticises Uhuru Over Closure of Joho's Business

In response to Odinga's claims, Senior Director of Public Communications at State House Munyori Buku, said that Odinga's allegations were false and baseless stating: “ODM leader Raila Odinga's false claims over the closure of two companies that do business at the port is nothing but his characteristic shallow style”.

Mr Buku criticised the former Prime Minister for delving into a matter that was outside his mandate.

Read Also: You are Ignorant in the Closure of Joho's Business, Raila Told