The High Court has Thursday declined to order Kenya Revenue Authority (KRA) to re-open Platinum Distillers in Ruiru after the manufacturing company was closed down on last month over tax evasion.
The manufacturer had moved to court seeking to have its premises reopened but Justice Weldon Korir Thursday said the application lacked merit.
During the shutdown of the company, four people were arrested after KRA officials received a tip off that the firm had imported a consignment of raw material that was not properly declared in order to pay lower taxes.
KRA head of tax investigations Dr Edward Karanja said that whereas the distiller paid 383,962 shillings a preliminary report indicated that the company should have paid up to 14 million shillings in taxes.
Dr. Karanja said the distiller was to remain shut pending the conclusion of investigations which included testing of samples of the consignment nabbed to establish whether or not it is ethanol.
The judge said KRA requires 30 days to complete investigations and directed that the case filed by Platinum against KRA be heard on March 23, 2019.