Key Takeaways:
- Tigran Gambaryan and Nadeem Anjarwalla, executives at Binance, were detained in Nigeria on charges related to money laundering and manipulating the Nigerian naira’s exchange rate, pleading not guilty.
- The situation worsened when Anjarwalla escaped custody, leading to additional charges of tax evasion and more money laundering accusations against both individuals and Binance.
- The case highlights the Nigerian government’s scrutiny of global crypto entities’ activities within its jurisdiction, potentially affecting Binance’s operations and the cryptocurrency market in Nigeria.
Tigran Gambaryan, who serves as Binance’s lead for financial crime compliance, along with another executive, was recently detained in Nigeria amid serious accusations.
Nigerian authorities arrested Gambaryan and his colleague, Nadeem Anjarwalla, in February, pointing to charges of assisting in the processing of illegally obtained funds amounting to billions of dollars and manipulating the Nigerian naira’s exchange rate.
A Binance executive detained for more than 40 days in Nigeria and charged with tax evasion and fraud has been sent to prison ahead of trial in May https://t.co/tNjhg70FlU
— Bloomberg Crypto (@crypto) April 8, 2024
During a recent court appearance, Gambaryan pleaded not guilty to charges of money laundering before a high court in Nigeria.
Despite his defense, the judge ordered that he remain in custody until his trial, although there’s an option for bail submission until April 18.
Breaking news 📰: Binance Executive Sent To Kuje Prison
— Nigeria Stories (@NigeriaStories) April 8, 2024
What is your take on this ? pic.twitter.com/zW8Sl6bJBN
This incident has sparked a significant legal battle, with both executives having previously sued the Nigerian government for alleged human rights violations.
The situation escalated when Anjarwalla managed to escape custody in March, further complicating the legal proceedings.
Nigeria’s Federal Inland Revenue Service (FIRS) and the Economic and Financial Crimes Commission (EFCC) have leveled additional accusations against Binance, Gambaryan, and Anjarwalla, including tax evasion and further money laundering charges.
WIFE OF EXECUTIVE HELD IN NIGERIA SPEAKS OUT – BINANCE SAYS CHARGES ARE “MERITLESS”
— BSCN (@BSCNews) April 8, 2024
“I am begging the American government to do anything to get Tigran out”
– The wife of Tigran Gambaryan, one of two @Binance executives detained in Nigeria, has spoken out regarding her husband’s… https://t.co/SmvO6LKFPb pic.twitter.com/jXfMcJvo1c
Despite Binance’s statements suggesting that Gambaryan lacks decision-making authority within the company, a Nigerian judge maintained that both he and Anjarwalla could be seen as company representatives due to their previous engagements with Nigerian officials regarding the crypto exchange’s operations.
Gambaryan faces five charges, one of which accuses him and the others of unlawfully negotiating foreign exchange rates in Nigeria, a violation under the country’s Foreign Exchange Act.
Nigeria Binance dispute: Cryptocurrency official denies money laundering https://t.co/0wb4J1GptH
— BBC News (World) (@BBCWorld) April 8, 2024
The outcome of this case could have significant implications for Binance’s operations and the broader cryptocurrency market in Nigeria, as the government scrutinizes the actions and responsibilities of global crypto entities within its jurisdiction.
About The Author
Efe Bravo, a seasoned journalist, delivers compelling insights into the cryptocurrency and blockchain industry.
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