Nigeria Pursues Legal Action Against Binance Executives for Suspected Money Laundering and Tax Evasion

Nigerian Authorities Seek Trial for Binance Exchange and Executives on Money Laundering Charges

ABUJA, Nigeria (AP) — Nigerian authorities have taken the first legal step in requesting a trial for cryptocurrency exchange Binance and two of its executives on charges of money laundering and tax evasion. This comes after weeks of a criminal investigation into the popular trading platform.

Tigran Gambaryan, an American citizen and Binance’s head of financial crime compliance, was the only executive present at the court hearing. Nadeem Anjarwalla, the company’s regional manager, remains at large after fleeing custody in late March.

Nigeria boasts Africa’s largest crypto economy in terms of trade volume, with many citizens using cryptocurrency to protect their finances against inflation and the declining local currency. However, authorities allege that Binance was being used for illicit activities such as money laundering and terrorism financing.

The Federal High Court in Abuja heard separate charges from Nigeria’s anti-corruption agency and tax authority, accusing Binance and the two officials of operating without the required license, unlawfully negotiating foreign exchange rates, tax evasion, and concealing the origin of illegal proceeds totaling $35.4 million.

Gambaryan, accompanied by officials from the anti-corruption agency, appeared in court for the hearing. Binance has not yet issued a statement in response to the charges.

The trial, scheduled to begin on April 8, has been surrounded by controversy since the executives’ arrest in February. Gambaryan’s lawyer argued that he could not represent Binance without the company’s permission, a claim disputed by the public prosecutor.

“There is proof that the second defendant (Gambaryan) is a representative of the first defendant in this country (Binance),” said Ekene Iheanacho, a lawyer representing Nigeria’s Economic and Financial Crimes Commission.

The case continues to unfold as authorities crack down on alleged financial crimes in the cryptocurrency industry.