In a recent announcement, the Nigerian Minister of Information, Mohammed Idris, emphasized that the legal proceedings against Binance and its executive, Tigran Gambaryan, for engaging in illegal cryptocurrency trading in Nigeria are in accordance with the country’s legal framework. Idris stated that due process has been followed at every stage of the legal process, and prosecutors are confident in their case based on the evidence collected. He mentioned that Binance will have the opportunity to present its defense against the serious financial crime charges in court, with the next hearing set for June 20, 2024.
The statement from the minister comes after 12 United States politicians appealed to President Joe Biden, urging the U.S. government to intervene through its hostage affairs unit to secure the release of Gambaryan. The politicians expressed concerns that the charges against Gambaryan, such as money laundering and tax evasion, were unfounded and part of a strategy by Nigerian authorities to pressure Binance.
Despite these claims, the minister reassured that Binance has been granted appropriate consular access from the U.S. government and has been treated with utmost care, adhering to standard diplomatic protocols and legal procedures. He explained that bail was denied due to the high risk of flight by the defendant, especially after a co-defendant fled the country illegally and is now the subject of an Interpol arrest warrant.
Binance is currently facing legal challenges in Nigeria, with separate lawsuits filed by the Federal Inland Revenue Service and the Economic and Financial Crimes Commission. The former case pertains to tax evasion, while the latter involves money laundering and violations of foreign exchange regulations. In February, Gambaryan, a U.S. citizen, and Nadeem Anjarwalla were arrested on suspicion of money laundering and tax evasion. While Anjarwalla managed to escape custody and flee to Kenya, Gambaryan remains in detention at the Kuje correctional center in Abuja, Nigeria.
The arrests occurred following the Nigerian government’s ban on cryptocurrency transactions as part of efforts to combat currency speculation. The court has mandated that Binance provide the Nigerian government with access to data and information on Nigerian traders using its platform.