Relief for Harsidhi Enterprices Limited directors as court postpones plea taking in Sh 400m tax row


It is a relief for two directors of Harsidhi Enterprices Limited as a Nairobi court deferred plea taking in aSh 400 million tax evasion row for failure by Kenya Revenue Authority to complete the tax assessment.

Parmar Vinubhai Somabhai and  Sangitabhen Vinubhai Parmar appeared before Chief Magistrate Francis Andayi on 1st June to answer to the charges but their lawyers opposed the same.

The lawyers told the court that the charge sheet being presented before it is premature. They argued that if there is tax due to KRA, the accused can be asked to pay the money and not to prefer criminal charges against them.

According to the charge sheet,Somabhai and Parmar deliberately defaulted in the payment of income tax and Value Added Tax amounting to Sh 400,000,000.

The court heard that despite the investigation having commenced 2017, a decision has not been arrived at by the commissioner of income tax to charge the two accused persons.

“The accused have already raised an objection to the alleged tax evasion but the commissioner of tax is yet to reply so that exact amount is established for the accused to remedy to the taxman.

The court directed the defense to file a formal application and serve the same on the prosecution so as the issues can be addressed by all parties.

The suspects were released on a cash bail of Sh 300,000 pending hearing and determination of the application..