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Court adjourns FIRS $79.5bn suit against Binance until April 7

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The Federal High Court in Abuja on Monday, adjourned the suit filed by the Federal Inland Revenue Services (FIRS) against Binance Holdings Ltd, demanding 79.5 billion US dollars over economic losses allegedly caused by its operations in Nigeria, until April 7.

The matter, which was on number 9 on the cause list, could not proceed before Justice Inyang Ekwo.

The development occured after some cases had be heard by the judge before he went on recess.

The News Agency of Nigeria (NAN) reports that the FIRS ha, in the suit marked: FHC/ABJ/CS/1444/2024, dragged Binance, Tigran Gambaryan and Nadeem Anjarwalla to court.

In the originating summons dated and filed Sept. 30, 2024, by Chief Kanu Agabi, the country’s’ tax regulatory body sought four questions for determination.

The FIRS prayed the court to determine “whether pursuant to Section 13(2) of the Companies Income Tax (CIT) Act Cap. C21, LFN, 2024 and Order (1)(a) and (c) of Companies Income Tax (Significant Economic Presence) Order 2020, the defendants are not liable to pay annual corporate income tax to the Federal Republic of Nigeria for having had significant economic presence in Nigeria from 2022 to 2023, among others.

The agency, therefore, sought nine reliefs should the court answered its questions in the affirmative.

It wants the court to declare that pursuant to all relevant laws, the defendants are liable to pay annual corporate income tax to the Federal Government for having significant economic presence in the country.

It wants the court to declare that Binance and its representatives are lliable to file their income tax to the agency for the year 2022 and 2023 respectively from the time they began to exercise significant economic presence in Nigeria.

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FIRS also seeks a declaration that it is entitled, under Section 87(1) of the CIT Act Cap. C21, LFN, 2004; Sections 25(1) and 34(1) of the FIRS (Establishment) Act 2007, to recover from the defendants the cumulative sum of $2,001,000,000.00 being the amount due by way of income tax to the plaintiff from the defendants for 2022 and 2023 respectively.

It also seeks a declaration that pursuant to Section 85(1) of the CIT Act Cap. C21, LFN, 2004 and Section 32(1) of the FIRS (Establishment) Act 2007, the defendants are liable to additional payment of 10 per cent per annum on the tax due but not paid for 2022 and 2023 respectively.

The agency, therefore, sought an order mandating the defendants to pay to the plaintiff the sums of $2,001,000,000.00 for year 2022 and for 2023, being the unpaid income tax due to the plaintiff from the defendants for the year 2022 and 2023 respectively.

“An order mandating the defendants to pay to the plaintiff the 10% addition for non-payment of income tax for year 2022 and 2023 respectively.

“An order mandating the defendants to pay 26.75% interest rate being the prevailing Central Bank of Nigeria (CBN) lending interest per annum from the 1st January, 2023 and 1st January, 2024 respectively when the tax become due and payable until it is fully paid.”

In the affidavit deposed to by Jimada Yusuf, a member, Special Investigation Team from the Office of the National Security Adviser (ONSA), he said he and other officials of FIRS and other regulatory agencies, investigated Binance’s business activities in Nigeria.

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Yusuf said the Federal Government discovered that Binance had been operating in Nigeria for over six years without registration.

According to him, this was allegedly confirmed by Gambaryan and Anjarwalla during a meeting with the Securities and Exchange Commission (SEC) in 2024.

He further claimed that in a letter dated February 20, 2024, Binance admitted to having 386,256 active users from Nigeria on its platform, with a trading volume of $21.6 billion and a net revenue of $35.4 million for the calendar year 2023.

He accused Binance and its executives of multiple infractions, including offering financial services without the necessary licenses, operating without required permits, non-compliance with the money laundering Act, providing currency speculation services without proper authorisation, etc.

Yusuf averred that Binance engaged in Virtual Asset Service Provider (VASP) activities in Nigeria, providing trading and custodial services to Nigerian users without proper registration with the relevant regulatory agencies, among others.

NAN reports that the FIRS and the Economic and Financial Crimes Commission (EFCC) are also prosecuting the cryptocurrency company in separate charges before Justice Emeka Nwite of the same court.(NAN)

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Film, event centre rules tightened as Kano assembly passes censorship bill

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The Kano State House of Assembly on Tuesday passed the Kano State Censorship Board Amendment Bill 2025, granting the board broader regulatory powers over entertainment and media content in the state.

The passage followed the consideration of the Committee of the Whole House and the third reading by the Clerk, Bashir Diso, during Monday’s plenary presided over by the Speaker, Ismail Falgore.

Briefing journalists after the plenary, the lawmaker representing Dala Constituency, Lawan Husseini, explained that the amendment empowers the board to oversee the registration of event centres and enforce strict compliance with Islamic principles in entertainment-related activities.

He further disclosed that the board’s name had been officially changed from State Censorship Board to Kano State Censorship Board to reflect its jurisdictional authority.

All films, series, and serials must now be censored and certified by the board before they can be aired,” Husseini stated.

Additionally, the amended law prohibits the indiscriminate shooting of films within the state without obtaining prior approval from the board.

Meanwhile, the Kano State Water Users Association Bill 2025 has passed the second reading in the Assembly.

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106 NNN Members Die Waiting For Payment

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Beneficiaries of the New Nigerian Newspapers, associated with the Northern States Governors Forum, have expressed their deep frustration over the prolonged issue of unpaid benefits totalling N2.1 billion. As of January 2025, the death toll of members awaiting these payments has tragically reached 106.

A statement issued by Alhaji Sadiq Tela on behalf of the Elders Forum, and Friday Sule for the Joint Union of the New Nigerian Newspapers, highlights that “following the recent out-of-court settlement between the Northern Governors and Albert Iweka and Co, which was ratified on 27th November 2024 by the Federal High Court, expectations have soared due to the extreme poverty exacerbated by the delay in these benefits.”

It is worth noting that Barrister Iweka and Idi Sule, both former employees of the New Nigerian Newspapers, had previously taken the Northern Governors to court over the payment of check-off dues. They successfully secured a garnishee order that froze the account of New Capital Properties Limited (NCPL), where the proceeds from the sale of NNN assets were held.

“Thanks to the tireless efforts of the New Nigerian Beneficiaries, the case was eventually dismissed, and all previous garnishee orders were vacated, with all parties duly settled except for the New Nigerian Beneficiaries,” the statement emphasised.

The statement further lamented, “More than 100 days have passed since the resolution of this decade-long court battle, yet all New Nigerian Beneficiaries who served the 19 Northern Governors continue to suffer in silence, overwhelmed by pain and despair.”

However, the workers have praised the current Secretary to the State Government of Kaduna for providing some relief through strategic discussions with the Northern Nigeria Development Company and the Northern Governors’ Secretariats. “These efforts are comforting, but in light of the harsh economic realities, the over 800 beneficiaries who have nearly 10,000 dependants are left in tears,” they added.

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The statement reiterated, “The Northern Governors, led by Governor Inuwa Yahaya of Gombe State, possess the authority to shape the futures of nearly 1,000 New Nigerian Beneficiaries.”

“We take this opportunity to implore our Northern Governors’ Forum to extend their support, as the death toll of NNN beneficiaries awaiting payment has sadly risen to 106 as of January 2025.”

“In the spirit of Ramadan, we beseech our Northern Governors to show compassion towards our families, as many of us are struggling to break our fast.

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Fuel Prices To Continue Decline Till June – Rewane

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Both Dangote Refinery and the Nigeria National Petroleum Company Limited (NNPCL) have crashed the cost of the essential commodity in recent weeks.

Rewane attributed the reduction in fuel price to a fall in global crude oil price.

Managing Director of Financial Derivatives Company Limited, Bismarck Rewane, has predicted that the cost of premium motor spirit also known as petrol will continue to decline until June 2025.

 

Both Dangote Refinery and the Nigeria National Petroluem Company Limited (NNPCL) have crashed the cost of the essential commodity in recent weeks, easing the pressure on millions of Nigerians who depend on fuel for their energy needs.

But Rewane says the recent reduction in the pump price of the product is expected to continue until mid-year.

“So, generally between now and June, we will see prices begin to decline. But after June as things stabilize, depending on what happens in the global oil and currency market, we might begin to see some stabilisation,” Rewane said on Tuesday’s edition of Channels Television’s Business Morning.

According to him, the price war between Dangote Refinery and NNPCL will benefit the consumer more.

“In a price war, nobody wins, the consumers win in the short run then eventually the market goes back to where it should be. But, at the end of the day, between now and June, the price leadership will be firmly established,” Rewane said.

He attributed Dangote Refinery’s reduction in the pump price of petrol to production cost efficiency.

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