Binance’s Tax Evasion Case in Nigeria Adjourned to April 30

Nigerian Court Adjourns Trial Amid Legal Challenges from Binance

A court in Abuja, Nigeria, has adjourned the ongoing tax evasion case against Binance, a leading cryptocurrency exchange, to April 30, according to a report from Reuters.

Background of the Case

The Nigerian government is demanding $2 billion in back taxes and $79.5 billion in damages from Binance, alleging that the company’s activities have caused significant economic harm and contributed to the devaluation of the Naira.

The government claims that Binance maintains a “significant economic presence” in Nigeria and should be taxed accordingly. Officials have accused the company of facilitating capital flight through its peer-to-peer (P2P) trading platform, particularly during periods of heightened currency volatility.

Legal Challenges from Binance

Binance has contested a February court order that allowed Nigeria’s Federal Inland Revenue Service (FIRS) to serve legal documents via email. The company has argued that the FIRS did not obtain proper authorization to serve papers outside the country, as Binance has no physical office in Nigeria.

Adjourning of the Case

The adjournment of the case follows legal challenges from Binance, and the next hearing is scheduled for April 30. The case is part of a broader crackdown on crypto trading in Nigeria.

Previous Developments in the Case

In February 2024, two Binance executives, Tigran Gambaryan and Nadeem Anjarwalla, were detained in Nigeria. Gambaryan, a U.S. citizen, was held for 8 months before being released and allowed to seek medical treatment abroad for back problems allegedly worsened by his detention.

Gambaryan has claimed that his detention was tied to Binance’s refusal to pay a $150 million bribe to Nigerian officials. Nigeria has denied Binance’s version of events. Anjarwalla, a British-Kenyan dual national, escaped custody while under house arrest and fled the country using a second passport. He remains wanted by local authorities.

Conclusion

The adjournment of the case highlights the ongoing legal battle between Binance and the Nigerian government. The outcome of the case will have significant implications for the cryptocurrency industry and the Nigerian economy.

FAQs

• What is the case about? The Nigerian government is demanding $2 billion in back taxes and $79.5 billion in damages from Binance, alleging that the company’s activities have caused significant economic harm and contributed to the devaluation of the Naira.
• Why did Binance contest the court order? Binance argued that the FIRS did not obtain proper authorization to serve papers outside the country, as the company has no physical office in Nigeria.
• What happened to the two Binance executives who were detained? Tigran Gambaryan, a U.S. citizen, was released after 8 months and allowed to seek medical treatment abroad. Nadeem Anjarwalla, a British-Kenyan dual national, escaped custody and fled the country using a second passport. He remains wanted by local authorities.
• What is the significance of the case? The outcome of the case will have significant implications for the cryptocurrency industry and the Nigerian economy.