Calls to release Binance exec intensify after 6 months in Nigerian detention

Industry leaders and bystanders seem to be increasing the requests for Nigerian authorities to release Tigran Gambaryan, a Binance executive detained since February.

In an Aug. 27 blog post, Binance CEO Richard Teng called on the Nigerian government to release Gambaryan on humanitarian grounds, citing concerns about the “potentially irreversible physical and mental impact” of his detention. The CEO claimed authorities justified Gambaryan’s detainment with “baseless allegations” involving the crypto exchange.

“There is no need to imprison an innocent employee to answer for any allegations against Binance,” said Teng. We have settled issues in countries around the world, including the US, Thailand, and most recently in Brazil and India, in a reasonable, collaborative, and amicable manner with governments. All these were done without threat or harm inflicted on our employees.”

Teng and a spokesperson for Gambaryan’s family confirmed that the Binance executive has been experiencing medical complications since his detention in February. Both alleged that he had been in severe pain and was being denied necessary medical care in the country.

“His health is deteriorating to the point where he can no longer walk,” said Gambaryan’s wife, Yuki, in a video posted to YouTube on Aug. 26. “Between bouts of malaria, pneumonia, and the unimaginable mental toll of his detention, he is now reaching the point of no return.”

What happened?

Gambaryan, Binance’s head of financial crime compliance and a former special agent for the United States Internal Revenue Service, traveled to Nigeria in February with his colleague Nadeem Anjarwalla as representatives of the exchange. After a meeting with officials to discuss regulatory concerns with Binance, authorities detained the two executives, initially charging them with tax evasion and money laundering.

In March, Anjarwalla escaped custody, fleeing to Kenya but later being apprehended by local authorities. He reportedly faces extradition back to Nigeria.

Related: Stakeholders urge Nigeria to adopt compliance-focused crypto regulation

Since Gambaryan’s detention, many US lawmakers have called on President Biden to secure his release, alleging the Nigerian government made unfounded charges against the Binance executive in an attempt to coerce the exchange. A petition launched by Yuki Gambaryan to the US State Department, President Biden, and Nigerian authorities calling to “bring Tigran home” had more than 5,000 signatures at the time of publication.

Court battle looming

Gambaryan and Anjarwalla were initially charged with tax law violations by Nigeria’s Federal Inland Revenue Service and money laundering by the Economic and Financial Crimes Commission (EFCC). The tax authority dropped its case in June, but Gambaryan is expected to return to court for a Sept. 2 hearing.

At the time of publication, it was unclear if Anjarwalla would be appearing in court in person after his escape to Kenya. Gambaryan has pleaded not guilty to the EFCC charges and is being held at the Kuje Detention Facility outside the capital city, Abuja.

Nigeria authorities were also reportedly pursuing civil penalties against Binance, denying reports that they were seeking a $10 billion fine. In March, the exchange said it would cease all transactions in Nigeria’s currency, the naira, effectively exiting the market for residents.

Magazine: South Africa’s digital-nomad crypto hub: Cape Town, Crypto City Guide