News
Cryptocurrency executive denies money laundering
April 8, 2024
By Nkechi Ogbonna, BBC News, Lagos
Tigran Gambaryan has been detained in Nigeria since February
An executive at cryptocurrency company Binance has pleaded not guilty to money laundering charges in a Nigerian court.
American citizen Tigran Gambaryan was arrested in February, along with his colleague Nadeem Anjarwalla, an Anglo-Kenyan dual national.
Their detention comes as Nigeria accuses Binance of being behind the country’s economic crisis.
On Monday, Mr. Gambaryan dismissed five counts of money laundering filed against him by the Nigerian Economic and Financial Crimes Commission (EFCC).
After the hearing, he was transferred to Kuje Correctional Centre, a prison in the capital, Abuja. In the past, this facility has housed detainees ranging from jihadists to politicians.
Gambaryan and Anjarwalla had previously been detained at an unknown location.
In a statement released after Monday’s hearing, Mr. Gambaryan’s wife, Yuki, said: “I am beyond heartbroken that my innocent husband is being sent to a prison that houses known terrorists and murderers. treat a completely innocent man.
A Binance spokesperson said the accusations against Mr. Gambaryan were “baseless.”
They told the BBC: “We are deeply disappointed that Tigran Gambaryan, who has no decision-making power within the company, continues to be detained.”
The EFCC had accused Binance – considered one of the most popular cryptocurrency platforms in Nigeria – along with Mr Gambaryan and Mr Anjarwalla, of laundering $35.4m (£28m ).
In February, Mr. Gambarayan, Binance’s head of financial crime compliance, and Mr. Anjarwalla, Binance’s regional director for Africa, were arrested after arriving in Nigeria for meetings to discuss Binance’s operations. the platform in the country.
Binance was ordered to pay a $10 billion (£8 billion) fine later in the week.
The government accused him of currency speculation and fixing exchange rates, causing the local currency, the naira, to plummet.
The weakening of the naira, combined with food inflation and the soaring cost of living, has triggered an economic crisis in Nigeria.
Binance is not alone: Nigerian authorities have been cracking down on cryptocurrency platforms in general over allegations that they are used for money laundering and terrorist financing.
In addition to the money laundering charges, Binance and the two executives also face four counts of tax evasion, filed by the Federal Inland Revenue Service (FIRS).
After Mr Anjarwalla fled the country, Nigerian authorities said he fled on a “smuggled passport”, but a family source said he left “by legal means”.
Nigeria said it was “working with Interpol to obtain an international arrest warrant for the suspect.”
As of Monday, Mr. Anjarwalla was not on Interpol’s red list for “internationally wanted fugitives.”