Binance Tax Case Hearing Pushed to Mid-May in Nigeria

A Nigerian court postpones a trial of tax evasion on the Binance cryptocurrency exchange and two of its managers. The case will be heard on the 17th of May. Their adjournment was because of the formality of serving them the charges for Binance. The judge, Emeka Nwite, actualized this judgment during the Abuja sessions. However, the Federal Inland Revenue Service (FIRS), which is the prosecuting body of the case, has not formally served the main defendant, which is Binance, and this is what has caused the delay.

The court heard arguments regarding the serving of notices to the defendants. The FIRS’s legal team argued that Tigran Gambaryan, Binance’s head of financial crime compliance, had been adequately served and could represent the company. However, Gambaryan’s legal representative, Chukwuka Ikuazom, countered this by stating that Nigerian law requires the primary defendant to be served before proceedings can continue, necessitating the adjournment.

Binance Executives Face Tax Evasion Charges in Nigeria

Binance and its executives, including Gambaryan and Nadeem Anjarwalla, Binance’s regional manager for Africa, face four counts of tax evasion. The charges relate to their failure to register with Nigeria’s FIRS for tax remittance. While Gambaryan was present in court, Anjarwalla was absent as he had left the country following his escape from detention in March 2024.

The case arises from broader efforts by the Nigerian government to control cryptocurrency operations, which have been linked to concerns about currency speculation. This has led to tightened regulations, including the requirement for exchanges like Binance to disclose data on Nigerian traders. The ongoing legal battle also includes allegations against Binance and its executives for laundering over $35 million, which will be addressed in a separate trial scheduled for May 2.

Gambaryan Files Human Rights Lawsuit Against Nigeria

Amidst the ongoing tax evasion trial, Tigran Gambaryan has initiated a lawsuit against the Nigerian government, alleging violations of his fundamental human rights. The lawsuit, filed in response to his detention and the confiscation of his passport, claims these actions breach Nigeria’s constitutional protections for personal liberty. Gambaryan remains detained at the Kuje correctional center, and his bail application has also been postponed.

On the corporate front, Binance, which was not represented in the recent court session, has stated its commitment to collaborating with Nigerian authorities. This statement was made at the Token2049 cryptocurrency conference in Dubai, where Binance representatives expressed their intent to resolve the issues stemming from the arrests and charges faced by their executives.

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