Binance executive busted for money laundering in Nigeria

Binance executive Tigran Gambarian, who is currently in prison in Nigeria, has been charged by the Economic and Financial Crimes Commission (EFCC) at the Federal High Court in Abuja with charges of foreign exchange violations and money laundering.

Local media reported that Gambian legal representative Mark Mordi informed the court on May 22 that his client has not been well since the last trial date and is still experiencing health problems.

Gambarian failed to appear in court on the same day in a tax evasion case filed earlier by the Nigerian Federal Inland Revenue Service (FIRS). But he was presented in court on charges of money laundering.

In the money laundering court proceedings, the court registrar called the case. Gambarian failed to respond and sat in the back row. Justice Emeka Nwite noticed his absence and asked for an explanation. In return, the Gambian defense lawyer helped him to the dock.

But Gambarian suddenly collapses and asks for help from his lawyer to sit in a front row seat. Mordi explained that his client is unwell and a written application has been submitted to inform the court about his condition.

Considering Gambarian's sudden collapse, Mordi requested an additional appointment for his client's treatment. Mordi emphasized that it is not possible to continue the case in this situation. Subsequently, the court adjourned for June 20 and 21 for hanging and trial.

The judge had earlier on May 16 rejected Gambarian's bail application, citing EFCC's fear that he would risk flight if he was released from the Kuje Correctional Center where he is currently incarcerated.

Related: Binance.US Wins Appeal to Restore Florida Money Services License

Gambarian was transferred to Kuje Correctional Center in Abuja in April 2024 after pleading not guilty to charges of money laundering filed by the EFFC.

In March, the FIRS filed tax evasion charges against Binance and its executives Gambarian and Nadeem Anjarwala. The charges include non-registration with FIRS, non-payment of corporate income tax, non-payment of value added tax and facilitating tax evasion.

The Nigerian government has accused cryptocurrency exchanges of influencing foreign exchange rates, requiring stricter regulation of crypto trading platforms.

Binance CEO Richard Teng recently released a statement saying that during meetings in early 2024, Nigerian authorities tried to force Binance representatives into a secret agreement.

On March 5, Binance announced that it would stop all trading of the Nigerian naira, effectively pulling out of the market. Binance also canceled all trading pairs of the Nigerian naira on its peer-to-peer trading platform in late February.

Magazine: Crypto Sanitation: How Much Enforcement Is Too Much?