Nigeria Releases Tigran Gambaryan, Binance Executive, After Dropping Money Laundering Charges

An American cryptocurrency executive, held in Nigeria for eight months, has been released. Authorities decided to end his money laundering trial due to health and diplomatic reasons. Tigran Gambaryan, Binance's head of financial crime compliance, was freed on humanitarian grounds and is returning to the US for medical care, according to White House national security adviser Jake Sullivan.

Gambaryan was arrested in February during a business trip to Nigeria with Nadeem Anjarwalla, Binance's regional manager in Africa. Anjarwalla escaped custody and remains at large. Nigerian authorities accused Binance and Gambaryan of laundering up to USD 35 million and manipulating the naira currency, allegations they deny.

Diplomatic Efforts and Release

Sullivan expressed gratitude to Nigerian colleagues for discussions leading to Gambaryan's release. "I am grateful to my Nigerian colleagues and partners for the productive discussions that have resulted in this step and look forward to working closely with them on the many areas of cooperation and collaboration critical to the bilateral partnership between our two countries," he stated. He also shared the news with Gambaryan's wife.

Nigeria is Africa's largest crypto economy by trade volume. Many citizens use cryptocurrency to protect their finances from inflation and a weakening local currency. However, as crypto usage increased, officials accused Binance of money laundering and financing terrorism without providing public evidence, leading to a halt in trading with the local currency.

Legal Proceedings and Controversies

R.U. Adaba, a lawyer with Nigeria's Economic and Financial Crimes Commission, informed the Federal High Court in Abuja that the case was dropped for "critical international and diplomatic reasons." Despite this, Binance still faces charges related to tax evasion and operating without a license.

The trial faced controversy over claims of illegal detention and passport seizure of Gambaryan and his colleague. Binance alleged Nigerian officials demanded bribes for their release, which the government denied, insisting the prosecution followed legal procedures.

Health Concerns and Detention

Gambaryan's health worsened as his trial continued. The court in Abuja denied him bail twice, citing him as a flight risk, resulting in his detention at Kuje prison. His release now allows him to seek necessary medical treatment back in the United States.

The situation highlights ongoing tensions between cryptocurrency platforms and regulatory authorities worldwide. As digital currencies grow in popularity, governments are increasingly scrutinising their operations for compliance with financial laws.