Binance Executive Pleads Not Guilty to Money Laundering Charges in Nigeria

Tigran Gambaryan, a Binance executive, has pleaded not guilty to four money laundering charges levelled against him by Nigerian authorities. 

Gambaryan is the head of financial crime compliance at Binance. After his arrest, he pleaded not guilty during the formal arrangement. Mr Tigran rejected the claims of tax evasion and money laundering of $35 million. 

Bail and Trial Dates

Justice Emeka dismissed the defenses claims that he lacks decision making authority at the company thus should not be held for the company's operations.

The judge ruled that Gambaryan had acted as Binance's representative during his previous trips to the country, citing local laws.

After the plea,the court wil consider the baila application on April 18 2024. The trial over the same charges will take place on May 2, 3024. However, he will stay in the custody waiting for bail considerations.

Escaped Co-Accused and Interpol Involvement

Gambaryan's co-accused, Nadeem Anjarwalla, the Binance Africa Regional Manager, managed to escape from custody in late March.

Nigerian authorities have stated that they are working with Interpol to secure an international arrest warrant for Anjarwalla, who is not currently listed on Interpol's red notice for internationally wanted fugitives.

Broader Investigation and Charges

The charges against Gambaryan and Anjarwalla stem from a broader investigation into Binance's activities in Nigeria.

Authorities accuse the cryptocurrency exchange of manipulating and crashing the local fiat currency, the Nigerian naira, as well as facilitating tax fraud.

In addition to money laundering charges, Binance and its executives face four counts of tax evasion filed by the Federal Inland Revenue Service (FIRS).

The FIRS alleges that Binance violated multiple tax laws, including failing to pay company income tax and assisting users in evading taxes through its platform.

Economic Impact and Clampdown

Nigeria harbors Africa's largest crypto economy in terms of trade volume, with many citizens utilizing cryptocurrencies to hedge against surging inflation and the declining value of the naira.

However, authorities have accused crypto platforms like Binance of contributing to the country's economic turmoil and have initiated a broader clampdown on such platforms over allegations of money laundering and terrorism financing.

As the legal proceedings continue, Gambaryan's wife, Yuki, has expressed her dismay at her husband's transfer to the Kuje Correctional Centre, describing it as "unacceptable" treatment for an "innocent man."