Nigerian Agency Drops Tax Evasion Charges Against Binance Executives

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Key Takeaways:

  • Binance Executives Cleared of Tax Charges in Nigeria
  • Nigeria’s FIRS revised charges to name only Binance, excluding executives
  • Nigeria pursued money laundering and tax evasion charges against Binance 

In a significant development for the cryptocurrency sector, Nigeria’s Federal Inland Revenue Service (FIRS) has dropped tax evasion charges against Binance executives Tigran Gambaryan and Nadeem Anjarwalla, leaving Binance as the sole defendant. 

This move comes after initial charges were filed in mid-March, accusing the crypto exchange and its executives of tax evasion. Additionally, the Economic and Financial Crimes Commission (EFCC) had charged the pair with money laundering a week later.

The decision to drop charges against Gambaryan and Anjarwalla was confirmed in a recent statement by Binance. 

“The FIRS agreed to revise their charges to serve solely on Binance, through its local representative. Tigran will no longer need to appear in court for the FIRS case. This means that Binance is the sole defendant in this case,” the statement read. 

Binance highlighted that this adjustment underscores that Gambaryan and Anjarwalla were not decision-makers at the company and should not have been detained.s

Despite the FIRS dropping tax charges, Gambaryan continues to face money laundering allegations from Nigeria’s EFCC. The case, postponed to June 20, has raised serious concerns over Gambaryan’s wellbeing during his detention in Kuje prison, where he has reportedly been diagnosed with malaria and pneumonia. 

A Binance spokesperson expressed hope that the EFCC would follow FIRS’s example to allow Gambaryan to return home.

The dropping of tax evasion charges has sparked reactions from various quarters. The Gambaryan family and Binance spokespeople denounced the initial charges as unfounded. 

The dismissal of the tax charges from FIRS is evidence that the pair should never have been charged in the first place,” they stated. 

Binance commended FIRS for their professionalism and reiterated that the decision reinforces that Gambaryan does not need to be held for Binance to resolve its issues with the Nigerian government.

Amidst these legal battles, there have been calls from US lawmakers and former federal prosecutors urging President Joe Biden  to intervene in Gambaryan’s detention. They argue that Gambaryan is being wrongfully detained and charged with baseless crimes. 

However, the Nigerian government maintains that both Gambaryan and Binance will have their day in court to defend against the charges.

This development marks the latest chapter in Binance’s ongoing legal struggles in Nigeria. As the crypto exchange continues to navigate these challenges, the industry watches closely, noting the implications for regulatory practices and the treatment of crypto entities in emerging markets. 

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Aadrika Sharma
Aadrika Sharma

I enjoy writing and try to learn new things every passing day!

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