Binance CEO alleges Nigerian officials suggested clandestine cryptocurrency settlement

Fresh information has emerged regarding attempts by Nigerian officials to coerce representatives from Binance into a secret settlement paid in cryptocurrency during meetings in early 2024.
Binance CEO Richard Teng released a detailed account of Tigran Gambaryan’s ongoing detention on May 7. Gambaryan is a former agent of the United States Internal Revenue Service who led Binance’s financial crime compliance team.
Teng criticized the Nigerian government for its actions, stating that the country has “set a dangerous new precedent for all companies worldwide” by detaining two of its employees.
Gambaryan, who is highly respected in the field of global financial crime prevention, was detained while on a business trip to Nigeria. Teng outlined the exchange’s efforts to engage positively with Nigerian authorities, including participating in regulatory discussions and cooperating with law enforcement agencies.
Request for a public hearing
According to Teng, Binance employees initiated discussions with Nigerian authorities during public investigative hearings in response to a request from the chairman of the House of Representatives Committee on Financial Crimes (HCFC).
The committee reportedly raised concerns about Binance’s operations in Nigeria and indicated that they were prepared to summon Binance, issue arrest warrants against the exchange’s team and CEO, and prevent its delegation from leaving the country.
A public hearing was scheduled for January 10, and Binance was expected to publicly address any allegations in the presence of the petitioners, the press, and over 30 agencies.
Teng claimed that Binance had not received details of the allegations and that the delegation sought to submit written responses in the absence of a public hearing. The committee chair said they would consider the request and respond to Binance’s legal counsel.
Secret cryptocurrency settlement
Binance’s CEO alleges that unidentified individuals approached the exchange’s employees and proposed making a payment to settle the allegations. Teng stated that Binance’s local legal counsel received terms from an agent representing the HCFC committee:
The exchange refused the payment demand through its local legal representation and continued to engage in settlement negotiations. Binance presented several demands following the incident as it prepared to continue discussions with Nigerian authorities.
Subsequent meetings were scheduled for late February, with various government representatives in attendance from the Office of The National Security Adviser, the Office of the President, the Central Bank of Nigeria, the Nigerian Financial Intelligence Unit, the Economic and Financial Crimes Commission, and the Nigerian SEC.
“Despite the clear risks, Tigran Gambaryan and Nadeem Anjarwalla (head of Binance Africa) received multiple assurances that they would be granted safe passage for their meetings,” Teng said.
Binance suspends Nigerian services
The situation escalated when Nigerian officials demanded actions from Binance, including delisting the naira from their platform and providing detailed user information, resulting in the detention of Gambaryan and Anjarwalla.
Despite being assured of their safety, Binance claims that the pair were held against their will, and their passports and mobile phones were confiscated. Gambaryan remains in detention, with the Nigerian government insisting that his release is contingent upon Binance complying with its demands.
In response, Binance has shut down certain services in Nigeria in an attempt to resolve the situation and secure Gambaryan’s release.