Traders Want Order to Stop Property Seizure

Eight businessmen in Eastleigh have sued the government over seizure of their properties and freezing of their accounts for failure to pay tax.

The eight, together with Eastleigh Mall, want the court to grant temporary orders stopping state officials from conducting further searches of their premises.

The court was told the chief tax collector conducted a tax audit of Eastleigh Mall and discovered tax was being withheld.

It is not clear how much tax is owed.

Based on communication from the Kenya Revenue Authority, on August 14, last year, mall owners entered a payment plan to settle outstanding tax, the suit papers indicate.

On April 13, KRA acted on a court order and seized property from the mall, which belongs to third parties, court documents say.