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FG slams Binance with fresh $81.5bn lawsuit

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Binance

The Federal Government has asked an Abuja Federal High Court to compel cryptocurrency platform, Binance, to pay N79.51 billion and N231 million, which is equivalent to $81.5 billion, as penalty for alleged economic losses caused by its operations in Nigeria.

The plaintiff, the Federal Inland Revenue Service, in a charge seen by DAILY POST on Wednesday, marked FHC/ABJ/CS/1444/2024, is also seeking payment of $2.001 billion in income taxes for 2022 and 2023.

In the lawsuit, Binance and two of its executives, Tigran Gambaryan and Nadeem Anjarwalla, are accused of contravening Nigerian laws, including failing to register with the country’s tax agency, FIRS, for tax compliance and allegedly causing economic losses to the country during the review period.

The FIRS and the Economic and Financial Crimes Commission had charged the company with tax evasion, money laundering, and foreign exchange violations before Justice Emeka Nwite of the Federal High Court in Abuja.

The monetary claims in the lawsuit include a 10 percent penalty for non-payment of taxes for 2022 and 2023, a 26.75 percent interest rate (the prevailing Central Bank of Nigeria lending rate) per annum from January 1, 2023, and January 1, 2024, respectively, among other penalties.

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In the latest lawsuit, FIRS alleged that Binance concealed its business activities in Nigeria, despite having a significant economic presence in the country.

The Federal Government also accused Binance of breaching Nigeria’s Companies Income Tax Act, the Federal Inland Revenue Service (Establishment) Act 2007, the CBN Regulatory Framework for Mobile Money Services, and the CIT Significant Economic Presence (SEP) Order.

The SEP Order, signed by former Finance Minister Zainab Ahmed and gazetted in May 2020, defines significant economic presence as foreign companies deriving at least N25 million annually from digital services in Nigeria.

An affidavit deposed to by Jimada Yusuf, a member of the Special Investigation Team from the Office of the National Security Adviser, revealed that Binance had been operating in Nigeria for over six years without registration.

Yusuf stated that during a 2024 meeting with the Securities and Exchange Commission, Binance executives (Anjarwalla and Gambaryan) admitted to having 386,256 active Nigerian users on its platform, with a trading volume of $21.6 billion and net revenue of $35.4 million for 2023.

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Accordingly, the affidavit also accused Binance of operating without required licences and permits, non-compliance with the Money Laundering Act, offering unauthorised financial services, and providing currency speculation services.

The NSA said that Binance unlawfully listed and traded the Nigerian Naira on its platform, even after claiming it had delisted the currency following investigations.

The affidavit also alleges that Binance refused to provide detailed business records spanning six years, despite a Federal High Court order mandating disclosure to FIRS via the EFCC.

The FIRS, represented by lead counsel Kanu Agabi, SAN, was present in court on February 11, 2025, when the suit was called upon for a hearing before Justice Inyang Ekwo; however, Binance’s legal team was absent.

Agabi informed the court that attempts to serve Binance directly had been unsuccessful, and he had filed a motion for substituted service on them.

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Justice Ekwo granted the motion and directed that substituted service be carried out within seven days. The case was adjourned to March 3, 2025.

FIRS is seeking the following reliefs in the suit: “A declaration that Binance is liable to pay annual corporate income tax for having a significant economic presence in Nigeria.

“A declaration that Binance and its executives must file income tax returns for 2022 and 2023. An order compelling Binance to pay $2.001 billion in taxes for 2022 and 2023.

“Penalties, including 10 percent annual interest and a 26.75 percent CBN lending rate, until the taxes are fully paid. Compensation of $79.51 billion and N231 million for economic losses.”

 

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inDrive Celebrates Drivers’ Dedication During Ramadan with Special Appreciation Campaign

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inDrive, a leading global ride-hailing platform operating in 48 countries worldwide including Nigeria has reinforced its commitment to driver welfare through the recently concluded inDrive Ramadan Drivers’ Initiative in Abuja. This special campaign recognized and rewarded drivers who went the extra mile to serve riders during the holy month of Ramadan.

The weeklong initiative aimed to honor dedicated drivers who remained active throughout Ramadan, ensuring safe and reliable transportation for passengers. The campaign fostered a deeper connection between inDrive and its driver community, reaffirming the platform’s mission to empower and support those at the heart of its operations.

Drivers who remained online and consistently completed rides during the period qualified for a special contest recognizing their dedication. As part of this initiative, numerous hardworking drivers received substantial rewards, while the most outstanding performers were honored with exclusive, thoughtfully curated hampers—symbolizing inDrive’s deep appreciation for their commitment and exceptional service.

“At inDrive, we recognize the dedication and resilience of our drivers, especially during significant periods like Ramadan. This initiative is our way of expressing gratitude and reinforcing our commitment to their well-being and success. We believe that when drivers feel valued and supported, they are better positioned to provide excellent service to riders,” said Timothy Oladimeji, Country Representative at inDrive, Nigeria.

The inDrive Ramadan Drivers’ Campaign underscores the brand’s ongoing efforts to foster a culture of recognition, appreciation, and financial support, ensuring drivers remain at the forefront of its mission to provide fair and people-first mobility solutions.

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Aviation unions threaten nationwide airport shutdown over Customs officers’ assault

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Aviation unions have threatened to withdraw their services from airports across the country on March 31, 2025, unless the Federal Airports Authority of Nigeria (FAAN) addresses the physical assault by Customs officers on members of staff of the Authority.

The National Union of Air Transport Employees (NUATE), Air Transport Services Senior Staff Association of Nigeria (ATSSSAN), and the Association of Nigeria Aviation Professionals (ANAP), jointly announced the decision in a letter addressed to FAAN management and cited repeated physical attacks on FAAN personnel, including a recent assault on the Director of Aviation Security.

In the letter, the unions demanded the immediate establishment of ‘clear work protocols’ between FAAN and security agencies which aligns with global best practices. They also demanded sanctions for violations to ensure the safety of staff and a formal response and action from FAAN, which they claim has ignored prior ultimatums.

The unions said: “Considering the enormity and frequency of physical and psychological assault on the staff and management personnel of FAAN of which there is no end in sight, we are compelled to inform the management of the unwavering determination of our Unions to cause the establishment of a clear framework of mutual respect among FAAN staff and the security agencies operating at the airports.

“We wish to inform the management of FAAN that, unless clear work protocols that are in tandem with global best practices and with consequential sanctions are in place which guarantees the safety and human rights of FAAN staff, we shall direct all the workers to withdraw from the airports with effect from 31st March, 2025 pending when such protocols are established. The recent assault on no less a personality as the Director of Aviation security of FAAN is one too many which leaves a taste too bitter to swallow.”

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FAAN and the Nigeria Customs Service have not responded to the warnings.

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Nigeria set to host 72 Countries in African raw materials summit

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… seeks collaboration

The Raw Materials Research and Development Council (RMRDC) is gearing up to the Maiden Edition of the Africa Raw Materials Summit 2025 that would attract experts from over 72 countries across Africa and other parts of the world to chat a new course for the future of Africa.

The Director General, Raw Materials Research and Development Council (RMRDC), Prof. Nnanyelugo Martin Ike-Muonso, highlighted during an industrial visit to Chi Limited Company, Ajao Estate, Isolo, Lagos, to solicit for Collaboration .

Professor Ike-Munonso stressed that Africa is indeed blessed with abundant raw materials resources, but the challenge lies in its ability to harness these raw materials potentials for the benefit of the continent and its people.

According to the DG, “Africa is rich in natural resources; both minerals and agricultural resources, however, the continent has struggled to capitalize on these resources, with many countries exporting without adding value to them. This has resulted in limited economic benefits and a lack of industrial development, which should not be allowed to continue”.

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Prof. Ike-Muonso noted that to address this challenges, the RMRDC is organizing the first of its kind; the Africa Raw Materials Summit scheduled to hold in May 20-22, 2025, which aims to bring together critical stakeholders across the globe, to interact and share ideas, to chart a new course for the development of Africa’s raw materials sector.

He further noted that for the RMRDC project, which will focus on themes such as; value addition, industrial development, and sustainable economic growth, to be a success, all hands must be on deck, he is therefore calling on key stakeholders to get involved and make the upcoming Summit worthwhile.

The summit, scheduled to take place from May 20 to 22, 2025, at the Abuja Continental Hotel, FCT, aims to address critical challenges facing the continent’s raw materials industries with special focus on raw materials value addition, economic diversification, industrial growth strategies, investment opportunities, and sustainable regional collaboration to enhance Africa’s position in the global raw materials market.

Earlier in his remarks, the Project Consultant and Chairman local organizing committee of the Summit Professor Bernard Odoh, during the visit enumerated that the historic event aims to bring together over 1,000 experts from 72 countries to discuss strategies for harnessing Africa’s raw materials for economic growth and development. He said it is an opportunity for stakeholders to come together to share ideas, build partnerships, establish mutually beneficial working relationships, and develop actionable solutions for unlocking the full potential of Africa’s raw materials sector .

“By participating in the summit, stakeholders can contribute to shaping the future of Africa’s resource landscape and help drive economic transformation.
“The RMRDC is urging all relevant stakeholders, including policymakers, corporate entities, research institutions, and the media, to join forces and make this event a success”, he said.

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The Director Public Affairs and Communication Zainab Balogun and Director Procurement, who jointly represented the Management of the Chivita Foods Limited, were visibly delighted at the visit and the invitation to be part of the laudable project to see Africa looking onward to harness its abundant resources.

She said this will surely impact Africa, Nigeria and mostly the industrial sector in Nigeria, adding that Chi company appreciates the invitation to partnership in the Summit.

The Project Consultant, Prof. Odoh concluded that it is great to have Chi company as partner in the summit. “With the participation of key stakeholders like Chi company, the summit is poised to make a significant impact on the industrial sector in Nigeria and beyond”.

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