Nigerian Court Clears Binance Executives, Focus Shifts to Firm in Tax Evasion Case

In a recent development at the Federal High Court in Abuja, Tigran Gambaryan and Nadeem Anjarwalla have been acquitted of tax evasion charges brought by the Federal Inland Revenue Service (FIRS).

The court ruled to remove their names from the amended charge, leaving Binance Holdings Limited as the primary defendant in the ongoing legal battle.

The proceedings took a significant turn when Tonye Krukrubo, representing Binance, announced the company’s recent appointment of Ayodele Omotilewa as its representative in Nigeria. This announcement prompted a debate in court regarding Omotilewa’s participation in the dock during the hearings.

FIRS attorney Moses Ideho presented an amended charge on June 13, naming only Binance Holdings Limited as the defendant. This move follows previous charges that included Gambaryan and Anjarwalla, which were subsequently contested and dismissed by their legal representatives.

During the session, Krukrubo opposed the FIRS’ request to have Omotilewa docked to enter a plea on behalf of Binance. He argued that Omotilewa had not been served with the amended charge and should not be required to enter the dock prematurely.

In response, Ideho cited legal provisions under the Administration of Criminal Justice Act (ACJA) to support the necessity of Binance’s representative being present in court. However, Krukrubo and C.J. Caleb, representing Gambaryan, countered that the ACJA did not mandate a corporate representative’s presence in the dock.

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Justice Emeka Nwite granted FIRS’ application to substitute the May 17 charge with the amended June 13 charge, which now solely identifies Binance Holdings Limited as the defendant in the case numbered FHC/ABJ/CR/115/2024. The judge also ordered both parties to submit written arguments addressing the procedural dispute regarding Omotilewa’s role in future proceedings.

The court adjourned the case until July 12 to allow time for these written submissions and further deliberation on the matter. The charges against Binance relate to allegations of failure to register with FIRS and pay applicable taxes, as required under the Value Added Tax (VAT) Act of 1993.

The outcome of this legal battle will be closely monitored as it navigates the complexities of corporate accountability and legal representation in Nigeria’s judicial system.