The Lower Eastern Times Opening The Third Eye
Related Articles
High Court in Nairobi has dismissed a last-minute attempt by a local importer to block the Kenya Revenue Authority (Kenya Revenue Authority) from auctioning 56 containers of medical equipment.
The case was filed by Equip Agencies Limited, which had rushed to court seeking to overturn KRA’s decision to dispose of its goods after receiving an auction notice issued on July 24, 2025, scheduling the sale for the following day.
Click here to join our WhatsApp Channel
The firm argued that the move was unfair and abrupt, claiming it was not formally notified of any breach, demand, or intention to auction the cargo. Director Divyesh Indubhai Patel told the court that the company only became aware of the auction through the public notice and had not been given prior communication or an opportunity to respond.
He further argued that the short notice—less than 24 hours—denied the company a fair chance to rectify any alleged compliance issues or seek legal redress.
However, KRA officials maintained that the containers had remained uncleared for an extended period and that the importer had repeatedly failed to take action despite multiple opportunities. The tax authority also cited a Kenya Gazette notice issued in April 2024 warning that the goods would be auctioned if not cleared within 30 days.
According to KRA, the importer had over a year to regularize the shipment but failed to do so, leading to the eventual auction process. Thirteen out of the 16 containers were reportedly sold on July 25, 2025, before court intervention.
The authority also argued that the case was premature since the company had not exhausted internal dispute resolution channels as required under customs law.
In his ruling, Justice John Chigiti agreed with KRA, stating that the court should not intervene where statutory mechanisms for dispute resolution had not been followed. He ruled that the matter fell under procedures outlined in the East African Community Customs Management Act, which requires aggrieved parties to first seek administrative review before approaching the court.
The judge further noted that some of the arguments raised by the applicant were not properly included in the original court documents, making them procedurally invalid.
