Nakuru Senator Susan Kihika has faulted the Director of Public Prosecutions (DPP) and Kenya Revenue Authority (KRA) following the arrest of Keroche Chief Executive Officer Tabitha Karanja and her husband Joseph Karanja over the alleged tax evasion of Sh14 billion.
The senator said that the arrest of the tycoon is paving way for the loss of jobs of various persons.
She asked DPP Nordin Haji to go slow in the war against tax evasion. She said that the firm has been performing well, adding that it has supported hundreds of employees within the country.
“Mr. Haji’s claim of 10 counts of tax fraud amounting to Kshs. 14.4 billion is the latest attack on the business in a new twist to the firm’s perennial wars with the Government. The continued attacks which span over a decade are a clear indication of the KRA’s weak accounting systems,” she said.
The senator also said that the recent arrests by the DPP are likely to worsen the situation in the country. She also questioned why KRA has been going against betting firms including SportPesa and others.
“In recent past, KRA has gone after Sportpesa, businesman Humphrey Kariuki and now Keroche in multi-billion tax evasion cases. Where was KRA when these companies were accumulating such colossal amounts in unpaid taxes?
"It is a shame that the very offices funded by Kenyans can be used as conduits to destroy local enterprises, reduce job opportunities and stifle the manufacturing sector which ironically is one of the National Government’s Big 4 agenda,” she added.
Tabitha and her husband were released on a Sh10 million and Sh2 million cash bail respectively.