Tuesday, July 2, 2013

Court stops Uhuru cargo dealers order

Tuesday, July 2, 2013 - 00:00 -- BY MARTIN MWAURA
The High Court has temporarily halted President Kenyatta's executive order to kick out transit sheds within the Mombasa port. The companies handling customed cargo were to be kicked out yesterday after the Kenya Revenue Authority issued notice to withdraw custom officers from the premises.
Mombasa Resident Judge Maureen Odero who heard the exparte application granted separate leave to the two companies. The court ruled the grant of leave would also serve as a stay order against the move by KRA to either suspend the company from handling customed cargo or withdraw its officers.
Removal of the officers would have halted operations at the facility since it would have led to an automatic deactivation and barring of CAMIS passwords linked to the KRA’s IT systems.
The President had ordered the Kenya Ports Authority to eject transit sheds and clearing and forwarding service companies at East Africa’s largest port to ease congestion.
He issued the directions during a meeting with top KRA, KPA and other government officials at State House on June 14, a report filed by PPS indicated.
During the meeting, the KPA managing director was given full mandate to institute immediate disciplinary measures to those who defy the instructions.
KRA Commissioner Beatrice Memo immediately wrote a letter dated June 21 to logistic companies accusing them of "operating transit shed at a point in which no gazettment has been done" and said she would suspend their operations.
“All customs officers based at this facility (B2) will be withdrawn effective on July 1,” read part of the letter to Regional Logistics Centre Operations Manager.
On Friday, Regional logistics and Mitchell Colts Freight Kenya Limited represented by lawyer William Mogaka accused the taxman of working ultra vires.
“KRA in letter dated 11/11/2011 conceded the facility is duly appointed transit shed. This is an about turn and bad faith on the side of KRA,” said Mogaka.
In a sworn affidavit, James Ochieng, regional logistics manager said the facility was the leading company in handling highest volume of imported vehicles and that this lead to jealousy from competitors.
- See more at: http://the-star.co.ke/news/article-126498/court-stops-uhuru-cargo-dealers-order#sthash.IMNzojau.dpuf

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