By Ken Afor
Despite the $10 billion fine the Nigerian government is asking Binance, a cryptocurrency trading platform, to pay over alleged tax evasion and money laundering in the country, the House of Representatives Committee on Financial Crimes has ordered the arrest of the Chief Executive Officer of the multinational company.
The committee made the decision on Monday following a motion raised by lawmaker Mr. Isah Dogonyaro, representing Garki/Babura Federal Constituency, Jigawa state, at a public hearing in Abuja.
This was in response to a petition by the Empowerment Fund for Nigerian Youth Initiative and the Niger Delta Youth Council of Nigeria against Binance for several crimes allegedly committed by the company.
According to Mr. Dogonyaro, the committee had invited the CEO of Binance to address concerns about terrorism, tax evasion, and money laundering, but the CEO failed to appear both times, despite being given multiple opportunities.
He said that the CEO’s refusal to appear is viewed as an insult to both the committee and the Nigerian people.
However, Binance’s Legal Counsel, Mr. Senator Ihenyen, said that the company has already addressed all allegations in writing and is prepared to provide further written responses if necessary during the hearing.
Mr. Ihenyen, however, expressed the company’s concern about the safety of its officials in Nigeria, citing the recent arrest of two senior officials by the office of the National Security Adviser (NSA) when they visited the country.
Nevertheless, Chairman of the committee, Mr. Ginger Onwusibe Obinna, representing Isiala Ngwa North and South Federal Constituency, Abia state, stated that the committee had decided not to allow legal representation from Binance.
He further declared that the CEO of Binance should be arrested and brought before the committee to address the serious allegations outlined in a petition submitted to the committee.
“This committee has resolved to recommend to the house to invoke its constitutional powers by issuing a subpoena and a warrant for Binance executives to be arrested and brought to this committee to answer these questions on terrorism, money laundering and other financial crimes as stated in the petition including evasion of tax,” he said.
It would be recalled that last Wednesday, two executives of Binance, one American and one British-Pakistani national, arrived in the country for negotiations with the government over the $10 billion as retribution.
However, the meeting did not take place as they refused to meet with government officials, resulting in their arrest. These executives, allegedly representing Binance, were accused of operating a multibillion-dollar business without proper registration or documentation.
