Joho family firms granted orders barring KRA from interference

Coast politicians Badi Twalib, Abdulswamad Nassir, Omar Mwinyi, Rashid Bedzimba and Ms Mishi Mboko address Autoport and Portside Freight Stations' workers who were rendered jobless after KRA shut down the facilities on January 29, 2016. PHOTO | LABAN WALLOGA | NATION MEDIA GROUP

What you need to know:

  • Court put on hold a decision by the KRA suspending the freight stations’ licences to operate customs bonded cargo handling facilities.

  • The two firms were allowed to apply for order prohibiting KRA from harassing the companies' shareholders, directors, and family members.

  • The companies were allowed to apply for the orders on condition that the substantive suit is filed in seven days.

  • The Kenya Ports Authority has been named as interested parties in the two separate suits.

Two container freight stations associated with Mombasa Governor Hassan Joho’s family have been allowed to seek an order barring a government agency from locking and sealing them off.

At the same time, the court put on hold a decision by the Kenya Revenue Authority (KRA) suspending the freight stations’ licences to operate customs bonded cargo handling facilities.

The High Court in Mombasa also allowed the freight stations, Portside Freight Terminals and Autoports Terminals, to apply for an order prohibiting the taxman from harassing the companies’ shareholders, directors and family members.

They were also allowed to apply for an order prohibiting KRA from carrying out searches, requesting bank statements, seizures and other related activities unless authorised by court.

“Leave is hereby granted to the applicant to apply for an order to compel the respondent or other persons acting pursuant to its instructions to perform its duties and functions as customs officers as mandatorily required,” read part of the order issued on Monday.

THIRD PARTIES AFFECTED

The companies were allowed to apply for the orders on condition that the substantive suit is filed in seven days owing to the urgency of the matter and third parties likely to be affected by the dispute.

The Kenya Ports Authority has been named as interested parties in the two separate suits.

Last week, the authority was barred from suspending nomination of the containers to the two Container Freight Stations.

The High Court granted allowed the companies to apply for an order to prohibiting the authority from interfering or further suspension of nomination of containers to the freight stations.

The court also allowed the companies to apply for an order to compel KPA to continue performing its duty of nominating containers to the freight stations.