Nigeria Aims to Prosecute Binance Officials for Suspected Money Laundering and Tax Evasion Activities

In the capital city of ABUJA, Nigeria, recent court developments on Thursday have seen Nigerian officials request a trial to be initiated against the cryptocurrency exchange Binance, along with two high-ranking employees. The charges, stemming from an extended criminal probe, include accusations of money laundering and evasion of taxes.

Representing Binance at the legal proceeding was Tigran Gambaryan, an American national and the firm’s chief of financial crime compliance. Co-worker Nadeem Anjarwalla, who operates as a regional manager for the exchange, was conspicuously absent and reportedly on the run, having evaded custody previously in March.

Notably, Nigeria is recognized for maintaining the most extensive cryptocurrency market on the African continent, with a vast number of its populace turning to digital currencies as a safeguard against rampant inflation and a depreciating national currency. Nonetheless, the authorities have leveled serious allegations, asserting that Binance’s platform is a conduit for laundering funds and supporting terrorist activities.

The litany of accusations lodged against Binance and its two officers, as observed by The Associated Press in the Federal High Court documents, encompasses charges of unlicensed operations, illegal foreign exchange transactions, tax evasion, and the concealment of ill-gotten gains totalling approximately $35.4 million.

Throughout the court session, Gambaryan was flanked by agents from the anti-corruption bureau.

Attempts to secure a statement from Binance on these matters were unsuccessful.

The events following the detention of Gambaryan and Anjarwalla on February 26 have been contentious, with the parties implicating Nigerian officials of unlawful detainment and passport confiscation.

Reports from local news sources have also surfaced, indicating governmental demands for the identification of Nigerians engaging with Binance’s services.

The commencement of the trial, centered on the money laundering allegations, was postponed by the court in Abuja until April 8. This delay arose after a debate where Mark Mordi, legal counsel for Gambaryan, contended that his client could not lawfully represent Binance without express authorization— a point of contention rebuffed by the public prosecutor.

“Evidence clearly shows that the second defendant (Gambaryan) is authorized to act on behalf of the first defendant (Binance) within this nation,” declared Ekene Iheanacho, an attorney representing Nigeria’s Economic and Financial Crimes Commission.

Authored by Chinedu Asadu for The Associated Press