Binance Alleges $150 Million Bribe Demand by Nigerian Officials Amidst Legal Battle

A contentious legal battle has emerged between cryptocurrency platform Binance and Nigerian authorities, with allegations of a $150 million bribery demand surfacing amidst accusations of money laundering and tax evasion.

The saga unfolded with accusations levied by Binance against top Nigerian government officials, claiming they demanded a staggering $150 million in cryptocurrency to resolve a criminal case against the company. These allegations were detailed in a blog post penned by Binance CEO Richard Teng and subsequently published by The New York Times.

According to the allegations, the Nigerian government initiated action against Binance in a bid to bolster the value of the nation’s currency, the naira. Among the charges brought forth by the administration were accusations of money laundering, currency speculation, and tax evasion, amounting to $35.4 million.

The controversy intensified when Tigran Gambaryan, a compliance officer at Binance, purportedly received a message while visiting Nigeria in January, demanding the hefty cryptocurrency payment within 48 hours. Gambaryan, a former US law enforcement officer, interpreted the communication as a bribe request from a member of President Bola Tinubu’s administration, as per sources cited by The New York Times.

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Subsequent events saw Gambaryan and a colleague, Nadeem Anjarwalla, detained and arrested on orders from Nuhu Ribadu, the National Security Advisor. Anjarwalla reportedly fled and was later apprehended in Kenya, while Gambaryan was transferred from a safe house to the Kuje Correctional Centre Abuja on April 8.

In response to the allegations, the Office of the National Security Adviser’s spokesman, Zakari Mijinyawa, reiterated the government’s commitment to due process. Mijinyawa assured that the federal government would present its case based on facts and evidence, emphasizing adherence to the rule of law.

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“We are sure Nigeria has a strong argument,” Mijinyawa stated in a text message to The New York Times. “According to the rule of law, Binance will likewise have every chance to present its case and see justice served.”

As the legal battle ensues, the accusations and counterclaims underscore the complexities and challenges surrounding cryptocurrency regulation and governance, particularly in the context of emerging markets like Nigeria. The outcome of this dispute will undoubtedly have significant implications for the future of cryptocurrency operations within the country and beyond.