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The Federal Government has filed a fresh lawsuit against cryptocurrency platform Binance
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The Federal Government seeks $81.5 billion in penalties for alleged economic losses
The Federal Government has filed a fresh lawsuit against cryptocurrency platform, Binance, seeking $81.5 billion in penalties for suspected economic losses caused by its operations in Nigeria.
The lawsuit, filed by the Federal Inland Revenue Service (FIRS) at the Abuja Federal High Court, also seeks payment of $2.001 billion in income taxes for 2022 and 2023.
The FIRS, in the charge, accused Binance and its executives, Tigran Gambaryan and Nadeem Anjarwalla, of contravening Nigerian laws, including failing to register with the country’s tax agency for tax compliance.
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“A declaration that Binance is liable to pay annual corporate income tax for having a significant economic presence in Nigeria,” the FIRS prayed. The agency also sought “a declaration that Binance and its executives must file income tax returns for 2022 and 2023.”
According to the affidavit deposed to by Jimada Yusuf, a member of the Special Investigation Team from the Office of the National Security Adviser, Binance had been operating in Nigeria for over six years without registration.
Yusuf stated that during a 2024 meeting with the Securities and Exchange Commission, Binance executives admitted to having 386,256 active Nigerian users on its platform, with a trading volume of $21.6 billion and net revenue of $35.4 million for 2023.
READ ALSO: Binance Nigeria Limited a Scam Entity – CEO
The FIRS alleged that Binance concealed its business activities in Nigeria, despite having a significant economic presence in the country.
The agency also accused Binance of breaching Nigeria’s Companies Income Tax Act, the Federal Inland Revenue Service (Establishment) Act 2007, and the CIT Significant Economic Presence (SEP) Order.
The lawsuit is the third filed against Binance by the FIRS and the Economic and Financial Crimes Commission (EFCC). The case was adjourned to March 3, 2025.
Binance Executive Insists $150m Bribery Allegation is Factual
Binance executive, Tigran Gambaryan, has again insisted that his allegation of three Nigerian lawmakers demanding a $150m bribe from him is factual.
On Friday, Gambaryan had named members of the House of Representatives Philip Agbese, Ginger Onwusibe, and Peter Akpanke as the lawmakers involved.
