Ex-Binance Executive Amrita Srivastava files a lawsuit against Binance Europe Ltd, alleging whistleblower retaliation after reporting bribery.
An Ex-Binance Executive has been sued one of the world’s largest crypto exchange, Binance Holdings, for whistleblowing.
She claimed that a colleague requested a gratuity from a customer in exchange for preferential treatment.
However, she was terminated last year after reporting the incident to her managers.
Binance Europe Is Being Sued By Ex-Binance Executive
Bloomberg reported on November 28 that Amrita Srivastava, a senior employee based in London, has filed a lawsuit against Binance Europe Ltd with the employment tribunal.
In addition, she noted that Binance was concentrating on addressing a “revenue gap” in Link’s revenue, which was identified as a result of a customer with Iranian connections who had previously contributed 25% of the unit’s service revenue.
Srivastava claimed that she was unjustly terminated after she expressed concerns regarding an alleged bribery to her managers.
Srivastava asserted that a colleague engaged in bribery “under the guise of providing consultative services” in order to promptly expose a customer to Binance while feigning ignorance of his employment status.
Since that time, the colleague has departed the organization.
After reporting the bribery incident in April 2023, she was terminated by her superiors one month later.
Nevertheless, her attorneys asserted that she was terminated due to inadequate performance.
“The decision to terminate her employment due to poor performance was made prior to the concerns she raised regarding an issue that was already known and under investigation by our internal audit team,” Binance stated in a statement.
A culture of filtering out underperformers is prevalent within the organization.
Srivastava operated on the Link platform of Binance from a distance. It establishes a connection between the crypto exchange and external brokers and consumers.
After serving as the chief of fintech coverage for Western Europe at Mastercard Inc., Srivastava joined Binance in April 2022.
It is intriguing that whistleblowers are granted unlimited awards at the UK’s employment tribunal, while unjust dismissal is restricted to £105,700.
In United States, Exchange Was Subjected To Scrutiny, Lawsuits
US government agencies, such as the Department of Justice (DOJ) and the Securities and Exchange Commission (SEC), continued to conduct intense investigations into Binance.
Nevertheless, the exchange has achieved a partial victory in the SEC litigation, as a district judge has found that BUSD and BNB sales are not securities.
The US SEC was granted permission to submit a 70-page response to Binance’s dismissal motion, according to CoinGape on Wednesday.
The court’s decision is still unresolved.
The SEC contends that the majority of crypto asset transactions, including secondary market resales, qualified as securities transactions due to the potential for value increases.
The SEC is required to submit a response by December 4.
Binance and BAM have both stated that they do not object to the SEC’s request.
The U.S. District Court issued a scheduling order last month that extended the Binance lawsuit until 2026.
