Binance Faces Legal Action in Nigeria Over Tax Invasion and Money Laundering Allegations

The House of Representatives Committee on Financial Crimes has recommended the arrest of the chief executive officer of Binance Holding Ltd. over allegations of tax invasion and money laundering in Nigeria. The recommendation was made following a motion by Isah Dogonyaro (APC-Jigawa State) during a public hearing in Abuja.

The hearing was based on a petition by the Empowerment Fund for Nigerian Youth Initiative and the Niger Delta Youth Council of Nigeria, alleging several crimes committed by Binance. Binance, an online financial company, has been operating in Nigeria’s cyberspace for over six years, with at least 20 million Nigerians on its platform.

During the hearing, Mr. Dogonyaro stated that the committee had invited the CEO of Binance to appear and respond to questions on terrorism, tax invasion, and money laundering, but the CEO failed to appear. Despite giving the CEO another chance to appear on March 4, 2024, he refused to do so, which was deemed an insult to the committee and the Nigerian people.

In response to the legal counsel to Binance, Senator Ihenyen, who stated that the company had responded in writing to all allegations against it, the committee chairman, Ginger Obinna (LP-Abia), ruled that the committee had decided not to entertain legal representation from Binance. He stated that the leadership of Binance should be arrested and brought before the committee to answer questions about the grave allegations levelled against the company.

The chairman further stated that the committee would recommend to the House to issue a subpoena and a warrant for Binance executives to be arrested and brought before the committee. This is to answer questions on terrorism, money laundering, and other financial crimes as stated in the petition. The chairman thanked the petitioners for bringing to light the alleged financial crimes and exploitation of 20 million young Nigerians over the past six years.

Peoples Gazette