The Kenya Revenue Authority Thursday impounded 16 containers stashed with contraband sugar that had been declared as construction materials at the port of Mombasa.
The tax collector warned that any public officer found to have colluded with unscrupulous traders will be dealt with according to the law.
“KRA has commenced immediate investigations on this act of tax evasion. Such acts undermine our tax collection objectives while frustrating the broader national development agenda geared at promoting Kenyan enterprise,” said a statement from KRA.
KRA said it would firmly enforce customs regulations so as to seal all revenue leakages at the port.
The authority’s officials found that the 16 containers had been wrongly declared as containing “dividing heads part of grinding machine” and “Truck Boring Mesh” packages.
This was contrary to the vessel manifest submitted to KRA to facilitate faster clearance.
“The 16 containers verified so far are loaded with sugar packed in Kakira Sugar Company bags to ostensibly mask its origin. It’s instructive to note that Kakira Sugar company, is based in Uganda and any imports originating from the firm would ideally enter Kenya by road or rail haulage through the land borders and not through the seaport,’ it noted.