Nakuru Senator Tabitha Karanja’s Keroche Breweries is facing the auction of its property over more than Sh22 million owed to 16 former employees following court awards for unlawful dismissal.
In separate rulings issued on different dates, the Employment and Labour Relations Court ordered the Naivasha-based brewer to compensate the former employees after finding that they had been unfairly dismissed.
In another case, the High Court ordered the brewery to pay its former Managing Director, Mr Sam Shollei, Sh45.5 million for wrongful dismissal.
The former employees held different positions at the company, which has also been embroiled in a long-running tax dispute with the Kenya Revenue Authority (KRA) over alleged unpaid taxes.
One of the decrees, issued on April 2, 2026, ordered the company to pay former employee Mary Njeri Macharia an award of Sh970,000, plus interest, bringing the amount to about Sh1 million.
Another claimant, Henry Ogundo, is seeking Sh2.79 million from the company.
Following the court decrees issued on various dates this year, Keroche was directed to settle the employees’ awards together with interest and other attendant costs.
After the company failed to comply with the court orders, the court authorised Betabase Auctioneers to attach and sell the company’s movable property to recover the money owed to the former employees.
“These are to command you to attach the movable property of the said Keroche Breweries Ltd for sale by auction after giving seven days’ previous notice,” reads part of the warrant.
However, an attempt by the auctioneers to execute the court orders on Tuesday failed after police officers stopped the exercise while the factory gates remained locked.
A representative of the auctioneers told the Nation that the Officer Commanding Station (OCS) at Naivasha Police Station arrived at the premises and ordered them to leave.
“He said we had failed to follow the right procedures while executing the court orders, yet we had sought assistance from the sub-county police headquarters,” said the auctioneer.
The auctioneer accused the police of frustrating the execution of lawful court orders.
“Police were supposed to assist in enforcing the court order, not frustrate its execution,” he said.
He added: “We have been in this business for years and we know the processes involved in executing such orders. There is nowhere in the orders requiring the OCS to sign the documents, as he claims.”
The auctioneers have threatened to return to court to seek fresh orders directing the Sub-County Police Commander to facilitate the execution of the warrants.
Earlier, a senior police officer, who requested anonymity because of the sensitivity of the matter, confirmed to the Nation that officers had been deployed to provide security during the exercise.
“Police officers from Naivasha Police Station, as directed by the court, escorted the auctioneers to implement the orders,” he said.
On April 13, 2023, Ms Karanja was charged afresh in an alleged tax evasion case, which she has consistently maintained is politically motivated. She has argued that the dispute has led to repeated disruptions of the brewery’s operations, with the company previously saying it risked losing alcohol worth Sh500 million.
The company is also locked in a separate legal battle with its former General Manager, Mr Sam Shollei, who was awarded Sh45.5 million after the court found that he had been wrongfully dismissed.
Justice Hellen Wasilwa awarded Mr Shollei Sh52.5 million on September 27, 2022. After deducting Sh7 million that had already been paid, the outstanding amount stood at Sh45.5 million.
Recently, Mr Shollei filed an insolvency petition against the company, citing its failure to settle the debt despite the High Court judgment.
Additional reporting by Mercy Koskei.
