The Kenya Revenue Authority has reopened Africa Spirits Limited belonging to tycoon Humphrey Kariuki after a 3-year closure.
In a statement released by the taxman on Wednesday, December 7, the liquor firm was reopened after consultations with relevant security departments.
“In collaboration with other investigative agencies, KRA has today overseen the handing over of Africa Spirits Limited by DCI (Directorate of Criminal Investigation) to the owners. The Authority will facilitate the reopening and operation of the plant,” said KRA.
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Kariuki’s distiller was closed in 2019 on allegations of being found with fake KRA stamps and in possession of fake ethanol on its premises.
The revenue body attributed the move to the desire to fast-track economic development.
“The reopening of Africa Spirits Limited aligns with the need for economic development and independence by maximizing revenue collection,” said KRA.
The closure of the firm raised eyebrows within the political fraternity, with Deputy President Rigathi Gachagua terming the move as retrogressive to the economy.
He said the move was a foolish decision since the distiller used to pay more than Ksh.50 million per month in taxes besides employing hundreds of Kenyans.
Read: KRA Launches Tax Society At Chuka University
“African Distillers factory owned by Humphrey Kariuki was closed while it was paying Ksh. 50M every month in terms of tax, and for 3 years, we have lost Ksh.1.8 B, money that we need in this country. That was a foolish decision and that will never happen in this administration.” said Gachagua.
On December 7, Kariuki’s lawyers had written to the KRA to cede possession of the distillers, which had been under the custody of law enforcement officers since its closure.
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