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Company disowns brand as KRA seizes counterfeits in liquor plant raid

Thika Liquor Manufacturer Raid

KRA officials and police officers when they raided premises of a Thika-based liquor manufacturer.

A row is brewing between Kenya Revenue Authority (KRA) and a Thika-based liquor manufacturer after the taxman raided their premises yesterday accusing them of operating without a licence, producing counterfeit liquor and evading paying taxes.

Vine Pack Limited, the company at the centre of counterfeit allegations, denied the premises raided by KRA belong to them saying their production plant is based in Thika Town.

“The premises that were raided by Kenya Revenue Authority in Murang'a county do not belong to us. Our manufacturing plant is in Thika Town and we have not been in operation for some time because we have an ongoing tax row with Kenya Revenue Authority over tax issues and we are working to resolve the matter through alternative dispute resolution and we are happy with the progress so far,” Vine Pack Limited said through their publicist.

The raid, at a company identified as Vine Pack Limited, was led by KRA deputy commissioner in charge of reinforcement Mr Mutembei Nyagah and recovered 33 drums of ethanol worth Sh16 million, boxes of Fiesta Special Ice vodka worth Sh2 million, 5000 pieces of counterfeit stamps worth Sh10 million among other items.

“We acted on intelligence reports that Vine Pack Limited has been operating without a licence and has been producing counterfeit liquor brands with fake stamps from Kenya Bureau of Standards. We are investigating the matter further so that we can arraign its owners and also recover the money that has been lost through tax evasion,” Mr Nyagah told the Nation on location.

“The unlicensed brewer, based in Thika Town, is suspected to have been producing counterfeit liquor and evading millions of taxes," he added.

The raid was coordinated by a multiagency team including the KRA and the Directorate of Criminal Investigations (DCI).

The first operation happened near Vine Pack Limited and later extended to Thika Town where an additional 400 hundred boxes of counterfeit liquor brands were recovered.

The company said someone could be counterfeiting their brand by taking advantage of their absence in the market.

“We strongly believe that someone is counterfeiting our brand and we urge the police and Kenya Revenue Authority to look into this matter."