Alleged Terrorism Financing: Court Orders Binance to Release Data to EFCC

Posted by Thandiubani on Mon 18th Mar, 2024 - tori.ng

Justice Emeka Nwite granted the interim order after ruling on the ex-parte motion moved by EFCC’s lawyer, Ekele Iheanacho.

An order has been issued by a Federal High Court in Abuja asking Binance Holdings Limited to surrender data and information of all persons from Nigeria trading on its platform to the Economic and Financial Crimes Commission.

The order was given by Justice Emeka Nwite.

Nwite granted the interim order after ruling on the ex-parte motion moved by EFCC’s lawyer, Ekele Iheanacho.

“The applicant’s application dated and filed 29th February, 2024, is hereby granted as prayed.

“That an order of this honourable court is hereby made directing the operators of Binance to provide the commission with comprehensive data/information relating to all persons from Nigeria trading on its platform,” Nwite said.

The News Agency of Nigeria reports that the interim order was granted to enable the anti-graft agency to unravel allegations of money laundering and terrorism financing against Binance, a crypto currency exchange platform.

A certified true copy of the ruling, which was delivered on February 29, was sighted by NAN on Monday.

The ex-parte motion, marked: FHC/ABJ/CS/259/2024, was brought pursuant to Sections 6(b), (h), (I), 7(1), (a)(2), and 38 of the Economic and Financial Crimes Establishment Act, 2004 and Section 15 of the Money Laundering (Prevention and Prohibition) Act, 2022 (as amended) and the inherent powers of the court.

In the affidavit in support of the motion deposed to by Hamma Bello, an operative of the EFCC, he said he was attached to the Special Investigation Team (SIT) of the commission domiciled in the Office of the National Security Adviser (ONSA).

Bello averred that, following the inauguration of the Technical Committee on Currency Stability and Forex Manipulation by the ONSA, the SIT “received an intelligence stating the nefarious activities (money laundering and terrorism financing) on Binance, a crypto currency exchange platform.

“That on receipt of the Intelligence, the team began an investigation by conducting surveillance of the activities of the platform.

“That the team uncovered users who have been using the platform for price discovery, confirmation and market manipulation which has caused tremendous distortions in the market, resulting in the Naira losing its value against other currencies.

“That the damage the platform has caused was clearly explained to the operators of the platform and they were requested to delist the Naira and avail the ONSA on the activities of the Nigerians on their platform.

“That from the information afforded to the team by Binance shows that the total trading volume from Nigeria in 2023 alone stood at $21.6 (twenty one billion, six hundred million dollars).

“Attached and marked as Exhibit EFCC 1 is a copy of the document from Binance to the ONSA stating this fact amongst others.

“That the commission will ensure that investigation is conducted within such reasonable time.”

Bello, who said the matter was of utmost urgent public interest, said the data provided would enable the commission to accomplish its investigation activities.

He said it was in the interest of justice to grant the application as refusal of the request would largely hamper the commission’s investigation.