Nigerian authorities have filed a new legal complaint against Binance, demanding $81 billion in penalties for alleged tax law violations. This is the third legal challenge the company faces in Nigeria, including charges of money laundering and tax evasion. The case has garnered international attention, particularly due to previous detentions of Binance executives and ongoing allegations of illegal trading practices.
Nigeria’s prosecutors have launched a new legal challenge against Binance, demanding a staggering $81 billion in penalties for alleged tax violations. This complaint comes as the third legal action against the crypto exchange, which is accused of operating without proper registration and failing to pay taxes as required for foreign entities. The penalties requested are vastly higher than a previous $4.3 billion penalty Binance faced in 2023 for U.S. banking law violations.
The Nigerian Federal Inland Revenue Service claims that Binance’s actions have resulted in significant economic losses, totaling approximately $79.5 billion, alongside an additional tax fine of $2 billion. Furthermore, the complaint suggests that Binance has also partaken in illegal foreign exchange trading. Notably, Binance’s representatives were absent during the recent court hearing, where the complaint was filed.
Binance has been embroiled in a series of legal troubles in Nigeria, with a money laundering trial on the horizon. The company faces accusations of facilitating over $35 million in money laundering and tax evasion, both of which it has denied. The crypto exchange insists that the Nigerian government is wrongfully associating its services with the depreciation of the naira, the nation’s currency.
These legal proceedings gained international attention after Binance executives were detained by Nigerian authorities in 2024. Tigran Gambaryan and Nadeem Anjarwalla faced money laundering charges, although Anjarwalla managed to flee the country. Gambaryan spent months in custody before his release following intervention from the U.S. government, while the accusations of a $5 million bribery attempt to secure his release have not led to charges against Binance.
The latest legal developments in Nigeria present a significant challenge for Binance as it confronts a massive penalty demand alongside ongoing trials for money laundering and tax evasion. With Bitcoin and other cryptocurrencies facing scrutiny globally, the outcome of these proceedings could have broader implications for the crypto industry in Nigeria and beyond. The combination of previous penalties and ongoing discussions surrounding regulatory compliance underscores the heightened tension between crypto exchanges and local authorities.
Original Source: www.dlnews.com
