Nigeria Drops Money Laundering Charges Against Binance Executive Gambaryan

• Nigeria withdrew money laundering charges against Binance’s Tigran Gambaryan after U.S. diplomatic pressure and legal agreements.
• Tigran Gambaryan was released following unsuccessful bail attempts due to health concerns and legal arguments.
• Despite Gambaryan’s release, Binance still faces unresolved tax evasion charges in Nigeria, amid global regulatory challenges.

Binance Holdings executive, Tigran Gambaryan, is free after the Nigerian government dropped money laundering charges against him. Gambaryan, held since April, was accused of laundering $34.4 million. The Economic and Financial Crimes Commission (EFCC) made the announcement at the Federal High Court in Abuja just days before the next hearing scheduled for October 25.

Gambaryan, a U.S. citizen, was ultimately cleared after the prosecution confirmed he was an employee and not involved in Binance’s financial decisions. His release follows intense diplomatic efforts by U.S. officials and lawmakers who cited health concerns.

EFCC Withdraws Charges Against Gambaryan

The EFCC lawyer revealed the decision to drop charges during a closed-door court hearing. The unexpected move appeared to be timed to avoid media scrutiny. Despite previously denying Gambaryan’s bail twice due to flight risk concerns, the court acknowledged that Gambaryan was not responsible for the company’s financial strategies.

Gambaryan’s defense team argued that he should not be held liable for Binance’s overall operations. Mark Mordi, a Senior Advocate of Nigeria (SAN) representing Gambaryan, supported this position. The withdrawal of charges reflects successful diplomatic efforts between the U.S. and Nigerian governments.

Diplomatic Pressure Leads to Gambaryan’s Release

The case gained international attention from U.S. lawmakers, who pushed for his release. This included diplomatic interventions with Nigerian and American authorities. These efforts grew stronger after repeated bail rejections based on insufficient health claims.

Moreover, U.S. officials raised concerns over Gambaryan’s treatment at the Kuje Correctional Centre, where he was detained since his arraignment. Despite this, the Nigerian court remained firm, citing Gambaryan’s failure to prove that the correctional facility lacked adequate healthcare services.

Bail Applications Denied Despite Health Concerns

Gambaryan’s legal team submitted bail requests based on his deteriorating health, which became a major focus of the trial. The defense claimed that continued detention without medical care violated his rights. Despite these arguments, the court rejected the bail applications on May 11 and October 11.

During the October 11 hearing, Judge Emeka Nwite ruled that Gambaryan’s appeal against the initial bail denial was an abuse of the judicial process. The defense’s failure to withdraw the pending appeal before filing a new motion for bail led to its dismissal.

Although Gambaryan’s case is now closed, Binance still faces other legal issues in Nigeria. The company is involved in a separate tax evasion case before another Federal High Court judge. In addition, a related executive, Nadeem Anjarwalla, reportedly escaped custody in March, raising more questions about Binance’s activities in Nigeria.

Binance’s legal challenges in Nigeria are part of increased global scrutiny of the crypto exchange. These cases highlight regulatory efforts to manage cryptocurrency operations.

The abrupt end of Gambaryan’s case is a significant development in Nigeria’s regulatory actions against Binance. Diplomatic pressure and legal arguments were key to securing his release. However, the implications for Binance’s operations in Nigeria remain unclear. The company must still address the tax evasion charges as it works to meet compliance challenges globally.