Tigran Gambaryan, an executive at Binance who has been detained in Nigeria since February, has reportedly been denied bail by a Nigerian court in connection with a money laundering trial. The judge, Emeka Nwite, denied the bail application, stating that he believed Gambaryan posed a flight risk and would likely flee if released on bail.
Gambaryan, along with Binance Holdings and another senior executive, Nadeem Anjarwalla, who is currently at large, face charges from the Economic and Financial Crimes Commission (EFCC) related to money laundering and financing of terrorism.
The prosecution, led by Ekele Iheanacho, strongly objected to the bail application and highlighted that Gambaryan recently attempted to obtain a new passport under questionable circumstances, claiming that his previous one was stolen. Furthermore, Iheanacho stated that Gambaryan has no significant ties to any community in Nigeria and if granted bail, he is more likely to abscond like his colleague, Anjarwalla, who escaped Nigerian custody on March 22.
Anjarwalla and Gambaryan were arrested upon their arrival in Nigeria on February 26. The arrest came after the Nigerian government banned cryptocurrency channels as part of a campaign to curb currency speculation. The court also mandated that Binance provide the Nigerian government with access to data and details of Nigerian traders using its platform.
However, Gambaryan has also sued the Nigerian government for violating his fundamental human rights. His motion claims that his detention in Nigeria and the confiscation of his passport violate 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 in custody at the Kuje correctional center. Gambaryan was expected to return to court on April 19, and the question of bail was to be addressed on April 22. He has pleaded not guilty to tax evasion and money laundering charges brought by the EFCC.
On March 5, Binance announced that it would cease all Nigerian naira transactions, effectively exiting the market. The platform also delisted all naira trading pairs on its peer-to-peer trading platform in late February.
In a separate case in the United States, former Binance CEO Changpeng “CZ” Zhao was sentenced to four months in prison by a federal judge for violating U.S. money laundering laws.
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