The Nigerian court has postponed the tax evasion trial involving Binance and its executives to May 17 due to the exchange not being formally served with charges.
The tax evasion prosecution involving cryptocurrency exchange Binance and two of its executives has been postponed until May 17 in a Nigerian court. This postponement was because the charges had yet to be duly served upon the exchange.
As per the report by the local news agency BusinessDay, Binance has not been issued with tax evasion charges by the Federal Inland Revenue Service (FIRS). Having been served as the principal defendant, the FIRS attorney argued that Gambaryan should represent Binance, given that the company and its executives were jointly charged.
Chukwuka Ikuazom, however, objected on the grounds of Nigerian law, asserting that Gambaryan could not enter a plea until Binance, the principal defendant, was served. The proceedings have been postponed until May 17, 2019, when Judge Emeka Nwite is scheduled to decide.
During a visit to Nigeria on February 28, Binance and its executives were apprehended and charged with four counts of tax evasion. Among them were Nadeem Anjarwalla, a 37-year-old British-Kenyan regional manager for Africa, and Tigran Gambaryan, a 39-year-old U.S. citizen head of financial crime compliance.
As part of an effort to curtail currency speculation, the federal government prohibited cryptocurrency channels, which led to the arrest. The court ordered Binance to provide the Nigerian government with information and data about Nigerian traders who utilize its platform.
The accusations pertain to Binance’s non-compliance with Nigeria’s Federal Inland Revenue Service (FIRS) tax remittance registration requirements. Friday, while attending a court in Abuja, Gambaryan refrained from entering a plea. However, Anjarwalla was absent, having fled the country in March 2024 after evading detention.
Economic and Financial Crimes Commission (EFCC) of Nigeria has levied charges against Binance and its executives for laundering more than $35 million, in addition to the tax evasion prosecution. On May 2, the trial is scheduled to recommence.
Following the detention of Gambaryan, Binance, which was not represented in court and had no immediate comment, stated on Thursday at the Token2049 cryptocurrency conference in Dubai that it is collaborating closely with Nigerian authorities.
In the meantime, the bail application hearing for Binance executive Tigran Gambaryan, who remains in detention at the Kuje correctional center, has been rescheduled by a federal high court in Abuja, Nigeria.
Gambaryan is additionally initiating legal proceedings against the government on the grounds of infringement upon his fundamental human rights. The motion filed by Gambaryan asserts that his detention and passport confiscation in Nigeria violates the nation’s constitution, which protects the right to personal liberty.
