How he rejected FG millions of binance for the release of Tigran Gambaryan, stopped the negotiations angrily

Cryptocurrency Giant Binance tried to establish part of the four -year tax obligation in Nigeria, with a payment of $ 5 million, because it requested the issuance of an executive detained last year.

The offer was made in August 2024 against the background of intense negotiations for release Tigran GambaryanThe head of compliance of Binance’s financial offenses, which was detained by the Nigerian authorities on February 26, 2024. Gambaryan was accused of not cooperating with investigations on how cryptocurrencies, including Binance, undermined the Nigerian economy and caused financial loss. Although later it was released on humanitarian reasons in October, the legal procedures against Binance remain in progress.

Conformable Premium timesNigerian authorities claim that Binance has provided financial services without obtaining the necessary licenses, violated the law on money laundering and offered speculative transactions without authorization. In addition, the government claims that Binance’s Peer-To-Peer (P2P) platform has disturbed the country’s exchange mechanisms, allowing traders to set arbitrary prices, thus aggravating volatility on the foreign market and discouraging foreign investments.

Other claims suggest that Binance’s operations have facilitated capital exits and deviated import payments from regulated financial channels, increasing economic instability.

In a letter of February 24, 2024 and addressed to the Nigeria National Security Counselor Bureau, Binance acknowledged that it operated illegally in the country for six years, without registering for relevant regulators. The company also revealed that by the beginning of 2024, it had 386,256 Nigerian active users, a trading volume of $ 21.6 billion and net revenues of $ 35.4 million for the 2023 calendar year.

Fiscal settlement discussions collapse

Following the Gambaryan detention and Nadeem AnjarwallaBinance’s African regional manager on February 26, 2024, Nigerian authorities have requested that the company establish their outstanding tax obligations of 2020 – 2023, including an annual interest of 10% for unpaid taxes. However, Binance did not comply.

During a meeting in early August 2024, Binance acknowledged that it generated revenues of $ 35.4 million in 2023 and estimated its four-year revenues (2020-2023) at no more than $ 140 million. Based on this, the company calculated its fiscal obligation at about $ 7 million and offered to make a payment of $ 5 million in an escrow account. Binance proposed that the funds be released only in Nigeria when I release and depart from Gambaryan from the country.

As part of the negotiations, Binance also agreed to consider the provision of Nigerian authorities with a list of the first 100 Nigerian users and hiring Baker Tilly and Blockchain Analytics Company Chainize to evaluate its exact tax obligations.

However, the Nigerian government rejected Binance’s offer, rejecting it as inadequate. According to officials, Nigeria was expecting a significantly larger solution, given the company’s operations and the alleged economic impact.

The tensions climbed when a lawyer of Binance’s legal team, Arnold & Porter, suggested that Gambaryan was held hostage and warned that the US government could presuppose Nigeria with reprisal actions. In response, Nigerian authorities immediately ceased negotiations.

“When calculating the volume of trade and losses for our economy, we should ask for more”, Said an official involved in discussions. “We must also emphasize our data application. Without the requested data, Nigeria cannot calculate the volume of trade, let alone the taxes due by binance. In the US, the company has taught the requested data; Why is Nigeria different? They (Binance) just felt that we don’t deserve too much like a third world. “

The legal battles intensify

Since then, Nigeria has initiated two cases of separated trial against Binance. The first, submitted by the Commission for Economic and Financial Offenses (EFCC), is a case of money laundering of $ 35.4 million. Initially, Gambaryan and Anjarwalla were appointed defendants, but their names were eliminated when the charges were modified on November 25, 2024.

Key taxes in this case include:

Operating without a valid financial license: Binance is accused of running financial services without proper authorization, violating section 97 of the Criminal Code law.

Unauthorized financial operations: The company is supposed to have been employed in financial transactions outside the allowed sectors, such as insurance, Broking of action and management of pension funds, an offense under section 58 (5) of the Law of banks and other financial institutions, 2020.

Currency exchange violations: Binance would have manipulated foreign exchange rates in Nigeria, without being a recognized dealer on the country exchange market of the country, in violation of section 29 (1) (C) of the Law on foreign exchange (monitoring and various provisions).

Money washing: The company is accused of hiding the source of its income, including a cumulative of $ 35.4 million in 2023, violating section 18 (3) of the Law on money laundering (prevention and prohibition) of 2022.

$ 79.51 billion tax process

In a separate case, the Federal Internal Income Service in Nigeria (First) filed a trial against Binance Holdings Limited, on February 19, 2025, at the High Federal Court in Abuja. The government requests:

• $ 79.51 billion and 231 million in economic losses.
• $ 2.001 billion income taxes for 2022 and 2023, including penalties and interest.
• A convincing command Binance and his directors submit income tax statements for the relevant years.
• Recognition of Binance’s tax obligations for operating with a significant economic presence in Nigeria.
• Interest sanctions, including an annual 10% fine and a lending rate of the central bank of 26.75% of Nigeria (CBN) until completely resolving taxes.

According to First, Binance hid his business activities, despite maintaining a strong economic fingerprint in Nigeria. Failure to comply with the company to register with the fiscal authorities and its role in the assumption that it deviated the capital on the regulated channels are essential for the process.

A statement accompanying the process confirms that Binance operates in Nigeria over six years, without proper registration. The document reiterates that in 2023, the platform had almost 400,000 active Nigerian users, a trading volume of $ 21.6 billion and net revenues of $ 35.4 million.

The ongoing legal disputes have significant branches for both Binance and Nigeria financial sector. If the courts are pronounced in favor of the Nigerian Government, Binance could be facing substantial financial sanctions, regulatory restrictions and, possibly, a permanent prohibition to operate in the country.

Meanwhile, the aggressive position of Nigeria on crypto -cypto regulations could discourage other digital assets to enter or expand their operations in the country.