“It’s Blackmail” – FG Refutes Binance Bribery Allegations

Eko Hot Blog reports that the Federal Government has described as false and unfounded the accusation that some individuals demanded $150m bribe in cryptocurrency to settle the criminal charge against the popular cryptocurrency firm, Binance.

The crypto giant had alleged that undisclosed individuals in Nigeria demanded substantial digital currency payments to resolve their issues within the country.

Richard Teng, the firm’s chief executive officer (CEO), made the claim in a blog post on Tuesday.

Speaking on Binance’s issues with the Nigerian government, Teng detailed how the world’s largest cryptocurrency exchange tried to engage with the authorities.

He narrated how Binance team held a meeting on January 8 in Abuja, where it was confronted with criminal allegations.

Teng said despite multiple requests, Binance has still not received details of the allegations, “and our employees, therefore, inquired if there was an opportunity to submit our responses in writing and in the absence of a public hearing”.

“There were a number of reasons for that, including the sensitivity of the information and getting the opportunity to see the allegations in full and prepare a thorough substantive response,” he said.

“The meeting ended with the Chair confirming they would consider the matter and revert through Binance’s local counsel.

“However, as our employees were leaving the venue, they were approached by unknown persons who suggested to them to make a payment in settlement of the allegations.

“Later that day, our local counsel — representing us at that time — was summoned by the Committee through someone purporting to be their agent, who relayed the Committee’s terms and instructed our local counsel to advise us.

“Counsel reported back that he had been presented with a demand for a significant payment in cryptocurrency to be paid in secret within 48 hours to make these issues go away and that our decision was expected by the morning.

“Our team grew increasingly concerned about their safety in Nigeria and immediately departed.”

Federall Responds to the Allegation

However, a prosecutor with the Economic and Financial Crimes Commission, Ekele Iheanacho, dismissed Teng’s allegation, vowing to prosecute the case to the end.

Iheanacho, one of the lawyers prosecuting the Binance officials, said, ‘’Nobody demanded any money, the case is being taken to a logical conclusion. He’s making it up although I am not aware of any such allegations. As far as I am concerned, the charges are going on and we are making every effort to ensure that we get to a logical end.’’

A top official in the ONSA, who is close to the probe, said, “Did he (Binance CEO) mention a name? Since he didn’t mention a name, why should anyone be worried? Why should anyone waste their time if somebody made an unfounded allegation but could not mention any name?”

Two top officials at the EFCC also accused the Binance CEO of blackmailing the Federal Government.

They noted that Teng’s claim was frivolous, describing his action as ‘’the modus operandi of foreign personalities and corporations facing legal charges in Nigeria and other African countries.’’

One of the sources noted, “It is not only the EFCC that is prosecuting or investigating Binance over its atrocities against Nigeria. There are allegations of money laundering, and tax evasion, amongst others, against the company, and several federal government agencies are probing the company’s activities in the country.

“But the latest comment about alleged request for bribery by the Binance CEO is a blackmail against the Federal Government. That is the modus operandi of international corporations and individuals facing charges in Nigeria or anywhere else in Africa.”

A senior official noted, “It is the tradition of these international players to blackmail the country whenever they’re caught. What is the correlation between the alleged request for bribes and the allegations brought against Binance?

“The facts are there – they evaded tax, their platform is being used to launder money, so why are they not facing the facts? The claim is frivolous and a mere blackmail against the government.”

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