Nigeria has decided to drop tax evasion charges against Binance executives Tigran Gambaryan and Nadeem Anjarwalla, according to the Federal Inland Revenue Service (FIRS). This decision comes after accusations from U.S. lawmakers and a report from Nairametrics. Anjarwalla managed to avoid detention, while Gambaryan has been held for 110 days, facing pending money laundering charges by the Economic and Financial Crimes Commission (EFCC). His lawyers have expressed concerns about his health, as he has been diagnosed with malaria and pneumonia.
The initial tax evasion charges were brought against Gambaryan and Anjarwalla in March 2024 for allegedly not paying taxes on cryptocurrency transactions. Binance was accused of failing to pay value-added tax, company tax, and not filing tax returns. Gambaryan’s legal troubles began earlier with money laundering charges by the EFCC.
The Nigerian government’s crackdown on cryptocurrency trading platforms has led to accusations of influencing foreign exchange rates. Binance and its executives are facing separate legal battles over money laundering and foreign exchange contravention. The detention of the Binance executives followed the ban on cryptocurrency channels as part of a campaign against currency speculation.
Binance CEO Richard Teng accused a Nigerian government official of pressuring crypto representatives to accept a bribe to settle claims against the exchange. Nigeria refuted the accusation, calling it a distraction. Binance had to discontinue services involving the Nigerian naira after regulatory scrutiny, and faced a hefty fine as part of the crackdown on the platform.
Binance continues to face regulatory challenges globally, with charges filed against it by the Commodity Futures Trading Commission and the US Securities and Exchange Commission for allegedly operating illegal exchanges and violating securities laws.