The Nigerian Federal Inland Revenue Service (FIRS) has reportedly dropped some tax charges against two Binance executives, Tigran Gambaryan and Nadeem Anjarwalla, in an ongoing legal battle between the cryptocurrency exchange and Nigerian authorities. This development comes as the investigation into Binance’s activities in Nigeria continues to unfold.
Background of the Case
Nigerian authorities detained Gambaryan and Anjarwalla in late February 2024 over allegations that Binance was involved in an illicit $26 billion transfer. The executives were initially charged with money laundering, tax evasion, and aiding and abetting these crimes through Binance’s platform.
Amended Charges
The charges have since been amended, with the FIRS naming only Binance and its local counsel as defendants. Gambaryan, who has been unwell, will no longer be required to appear in court for the tax-related charges. However, the money laundering case still implicates both executives. Binance has argued that Gambaryan should not be held responsible for company activities due to his lack of decision-making authority within the company. Gambaryan serves as Binance’s head of financial crime compliance, while Anjarwalla was the director of operations for Africa.
Ongoing Legal Proceedings
Gambaryan and Anjarwalla were arrested as part of a broader investigation into Binance’s operations in Nigeria. Anjarwalla briefly escaped custody shortly after his arrest, prompting Nigerian authorities to issue an international arrest warrant through Interpol. The money laundering case is scheduled for its next hearing on June 19, where Binance’s legal team will seek an order to uphold the executives’ fundamental rights. The trial is expected to resume on June 20. Gambaryan remains in custody at Kuje prison pending further legal proceedings.
Also Read: Experts Urge Nigeria to Regulate Naira on Crypto Exchanges
Impact on Binance
While the dismissal of tax charges offers some reprieve for the Binance executives, the ongoing money laundering investigation casts a shadow over the exchange’s operations in Nigeria. Binance’s legal team continues to argue for the executives’ lack of culpability and aims to resolve the case in their favor.
The Nigerian Federal Inland Revenue Service’s decision to drop tax charges against Binance executives Tigran Gambaryan and Nadeem Anjarwalla marks a significant turn in the ongoing legal battle. However, the money laundering case remains active, and its outcome will significantly impact Binance’s operations in Nigeria and the legal standing of its executives.
