The Binance executive has seen the case against him from the Nigerian government dropped.
The Nigerian government has dropped all charges against Binance executive Tigran Gambaryan. Tigran has been on trial since April for alleged involvement in money laundering activities. According to reports, the decision was announced at the Abuja Federal High Court days before the scheduled court appearance on October 25.
This development came as a relief to Gambaryan, who had consistently maintained his innocence. Gambaryan lawyer Mark Mordi, a Senior Advocate of Nigeria (SAN), agreed with the prosecution, claiming that his client merely serves as an employee executing his duties. The legal representative of the Economic and Financial Crimes Commission (EFCC) announced the withdrawal of the charges in an unexpected hearing held last Friday.
During the hearing, the EFCC lawyer clarified that Gambaryan has no ties to illicit activities. While the charges against Gambaryan are out, the broader issues surrounding cryptocurrency regulation in Nigeria remain unresolved. Dropping the charges could indicate a growing understanding among Nigerian authorities of the uniqueness of cryptocurrency-related cases.
Background: Tigran’s Legal Woes in Nigeria
On February 26, two of Binance’s executives, Tigran Gambaryan, a citizen of the United States serving as Binance’s Head of Financial Crime Compliance, and Nadeem Anjarwalla, a Regional Manager for Africa, were apprehended and detained in the country.
However, Anjarwalla escaped jail on March 22. This move came after weeks of a bureaucratic tussle with the Nigerian EFCC, which failed to serve the duo with any complaints.
Gambaryan was formerly served at his first appearance in court in April. The EFCC alleged that Binance and the two executives conducted unlawful activities there. This led to the charges of laundering over $35 million.
At that point, the court refrained the Binance executive from entering a plea. The court set April 8 and 19 for his arraignment, during which he pleaded not guilty. A few weeks later, Gambaryan’s lawyer, Mark Mordi, SAN, filed a bail release request for him. He cited procedural fairness and legal rights as the reason.
In response to the request to grant Gambaryan bail, the presiding Justice Emeka Nwite ruled that the defendant has to remain at the Kuje Correctional Centre because he could run if granted bail.
Binance Allegations against Nigerian Government
Amidst the legal proceedings, Binance CEO Richard Teng accused the Nigerian government of prolonging the case. He believed the strategy was to extort money from the company. Teng said in a blog post that the government officials handling the case had sought $150 million in bribes to resolve the issue.
However, the Nigerian government refuted the allegation, claiming it is an attempt to sway Nigerians from the heinous financial crimes leveled against it.
Meanwhile, Binance’s former CEO Changpend ‘CZ’ Zhao has gained his freedom after four months in jail. As part of his sanctions, he will not return to Binance to lead the firm.
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