Federal Government Initiates Criminal Proceedings Against Binance Over Tax Evasion Allegations

Leading Cryptocurrency Exchange Faces Charges Filed by FIRS at Federal High Court

In a significant development, the Federal Government has taken legal action against Binance, a prominent cryptocurrency exchange platform, alleging tax evasion.

The charges, officially lodged at the Federal High Court in Abuja, were announced on Monday by the Federal Inland Revenue Service (FIRS), marking a significant move in the government’s efforts to ensure tax compliance within the burgeoning cryptocurrency sector.

According to a statement by Dare Adekambi, Special Adviser, Media to the Executive Chairman of FIRS, the lawsuit, designated as suit number FHC/ABJ/CR/115/2024, contains a four-count indictment against Binance for alleged tax evasion.

Joining Binance as co-defendants in the suit are Tigran Gambaryan and Nadeem Anjarwalla, both senior executives of the cryptocurrency platform. Gambaryan and Anjarwalla are currently in the custody of the Economic and Financial Crimes Commission (EFCC).

The charges against Binance encompass accusations of non-payment of Value-Added Tax (VAT), Company Income Tax, failure to file tax returns, and purported complicity in facilitating customers to evade taxes through its platform.

The outcome of the proceedings will be closely watched by stakeholders within the cryptocurrency ecosystem, as it could have significant implications for the regulatory landscape surrounding digital assets in Nigeria and beyond.

 

 

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