Mumias owes us Sh1 billion, KRA says
SEE ALSO :Drop in banks’ profit denies State Sh69bAccording to the KRA boss, the amount since 2012 had accrued interest and now stood at Sh1,138,663,714. “The amount they (Mumias Sugar) owe KRA is now Sh1.13 billion. We wrote to them on July 10 asking them to pay us within 30 days. If they do not respond to our notice, we will be compelled to go to the bank and take their money,” said Njiraini. The sugar company has been struggling to stay afloat despite the State's decision to pump into it Sh2.5 billion. According to the management of the cane factory, it requires Sh10.5 billion to be fully revived. The House team is tracking the implementation status of the sugar crisis report of the Agriculture Committee of the last Parliament.
SEE ALSO :Mumias firm now seeks Sh2b bailoutThe committee, which investigated what was ailing the sugar industry, recommended that officials of Mumias Sugar Company, at the time headed by Evans Kidero, and KRA should be punished. “Officers from Mumias Sugar Company/KRA who abused import procedures with regard to import permit requirements in the importation of 10,000 metric tonnes of sugar in 2012 from Sudan be held to account for their misdeeds," reads the report. Sugar importation The Mumias management in 2012 identified Dantes Peak Limited, a company that specialises in sugar importation, to ship in the commodity on behalf of the company. The board in February 2013 gave the go-ahead for the importation. Yesterday, Moitalel ole Kenta (Narok North),the chairman of the parliamentary committee, and members Richard Onyonka (Kitutu Chache South) and Godfrey Osotsi (nominated) asked why KRA could not establish from the onset that the firm that imported the sugar on behalf of Mumias was sold locally, evading paying millions in taxes.
SEE ALSO :Court blocks destruction of Kwale sugar