The Kuacjok Town Council in Warrap State has suspended the activities of the chamber of commerce over accusation of illegal tax collections.

The municipality says the chamber is using fake financial forms to collect taxes from traders three times a month.

The mayor of the town, Ajiek Ajiek, says he suspended the chamber for refusing to stop collecting the taxes.

“The traders brought to my attention through letters of complaint, of which I have in my office, that they were being taxed by chamber of commerce – one is for 65 pounds, 41 pounds and the other one is 20 pounds,” Mr Ajiek explained to Eye Radio.

“So, I called them for the second time and warned them not to collect [taxes] in the market of Kuacjok again but they would not listen.”

However, the state Chamber of Commerce has denied the accusation. Acting chairman Akec Mayar says his office collects membership and identification fees only.

“We do not collect taxes thrice a month. What we do is, we collect membership subscription fees and with membership fees, if you say you decide to pay yearly we accept and if you say you shall be paying per month we also accept,” Mr Mayar said.

“That is what we collect every month. We also collect traders’ identification fees and nothing more.”

Mr Akec added that the suspension is politically motivated.

He says the Mayor is siding with a group of traders who want to take over the leadership of the chamber.