KRA seeks to freeze Mary Wambui, Purma Holdings, daughter’s bank accounts

Businesswoman Mary Wambui Mungai (right) and daughter Purity Njoki Mungai before anti-corruption court at a past date. Photo/Suek

Kenya Revenue Authority has filed an application before the High Court seeking to freeze the bank accounts of Purma Holdings Limited and its directors Mary Wambui and her daughter Purity Njoki over tax arrears.

The taxman has reasons to believe that Purma Holding ltd and its directors are engaged in tax evasion by failing to declare the correct amount of income or taxes for purposes of both income tax and value-added-tax for the tax period 2014 to 2019.

KRA wants the court to issue orders preserving the funds and prohibiting the release, transfer or other dealings involving Sh 2,535,410,‪527 held in Equity Bank, KCB, Stanbic Bank and Credit bank in the name of the Purma Holding ltd and its directors.

“Preliminary investigations indicate that Purma Holding ltd and its directors have under declared the income in their self-declared income tax and VAT returns resulting to revenue loss of Sh 2,535,410,527 comprising of Sh 1,937,529,876 on account of income tax and further Sh 597,580,651 on account of value added tax,” said the taxman in their court documents.

KRA further states that other than the funds held by the banks, there are no known assets belonging to Purma Holding ltd and its directors capable of satisfying the taxes to be found due and payable.

The authority wants the monies to be preserved pending the issuance of a tax assessment and recovery of taxes or until further court orders or impose such terms as to give security for the taxes that shall be found due.