Tigran Gambaryan, an executive from Binance who has been detained in Nigeria since February, has reportedly been denied bail in a Nigerian court on charges of money laundering. Judge Emeka Nwite, who presided over the case, denied the bail application, expressing concern that Gambaryan may try to flee if released. The court case involves Gambaryan, Binance Holdings, and another senior executive, Nadeem Anjarwalla, who is currently on the run. They are facing charges related to money laundering and financing terrorism, brought forth by the Economic and Financial Crimes Commission (EFCC).
The prosecution, led by Ekele Iheanacho, strongly opposed the bail application, highlighting that Gambaryan recently attempted to obtain a new passport under questionable circumstances after claiming his previous one was stolen. Iheanacho also argued that Gambaryan has no strong ties to any community in Nigeria, making him more likely to abscond like his colleague, Anjarwalla, who escaped Nigerian custody on March 22.
Anjarwalla and Gambaryan were apprehended upon their arrival in Nigeria on February 26. Their arrest came after the Nigerian government banned cryptocurrency channels as part of an effort to curb currency speculation. The court has mandated that Binance provide the Nigerian government with access to data and details of Nigerian traders using its platform.
However, Gambaryan has also filed a lawsuit against the Nigerian government, claiming that his detention in Nigeria and the confiscation of his passport violate his fundamental human rights. He argues that this goes against the country’s constitution, which guarantees an individual’s right to personal liberty.
The bail application hearing for Gambaryan was previously postponed by the Federal High Court in Abuja, Nigeria. He is currently being held at the Kuje correctional center. Gambaryan was expected to appear in court on April 19, with the question of bail to be addressed on April 22. He has pleaded not guilty to charges of tax evasion and money laundering brought by the EFCC.
Binance announced on March 5 that it would cease all Nigerian naira transactions, effectively exiting the market. The platform’s peer-to-peer trading platform also delisted all naira trading pairs in late February.
In a separate case in the United States, former Binance CEO Changpeng “CZ” Zhao was sentenced to four months in prison for violating U.S. money laundering laws.
Magazine:
Cape Town, Crypto City Guide: South Africa’s digital-nomad crypto hub.