Detention of Binance Executive in Nigeria Raises Concerns
In a troubling development for the cryptocurrency industry, Richard Teng, the CEO of Binance, has called upon the Nigerian government to release Tigran Gambaryan, an American employee of the company who has been detained since February. Teng described Gambaryan’s prolonged detention as unjust, emphasizing the urgent need for medical treatment before his health conditions become irreversible. “Tigran has been unjustly held for close to half a year now,” Teng stated during an interview in New York, highlighting the seriousness of the situation.
Gambaryan, who serves as Binance’s head of financial crime compliance, was apprehended in Abuja shortly after he voluntarily traveled to Nigeria at the government’s invitation. Initially, he, along with another Binance executive, Nadeem Anjarwalla, faced house arrest without any clear explanation. However, the situation escalated when Anjarwalla managed to escape custody. Following this, Gambaryan was transferred to Kuje prison, a facility notorious for poor conditions, and was charged with serious allegations, including money laundering and tax evasion.
The Nigerian government has reportedly demanded nearly $10 billion from Binance as a condition for Gambaryan’s release, a figure that raises eyebrows regarding the motivations behind such a request. Furthermore, Nigerian officials have leveled unsubstantiated accusations against Binance, suggesting that the company played a role in depreciating the value of the naira, Nigeria’s national currency. Such claims have not been backed by concrete evidence and appear to be part of a broader narrative against the exchange.
While the tax evasion charges against Gambaryan have since been dropped, he remains embroiled in a legal battle focused on money laundering charges, which commenced in June. Gambaryan has consistently pleaded not guilty to all allegations, maintaining his innocence amid the growing scrutiny of his situation. The lack of transparency surrounding the charges and the legal proceedings has raised concerns among advocates and observers alike.
Gambaryan’s health has significantly deteriorated during his incarceration. Reports indicate that he contracted malaria, which, compounded by inadequate medical care, has led to severe complications such as double pneumonia and a tonsil infection. A spokesperson for his family revealed that Gambaryan is also suffering from complications related to a herniated disc in his back, causing him immense pain and limiting his mobility. His condition has become so severe that he has been seen in court using a wheelchair and has collapsed on at least one occasion.
Despite court orders, Kuje prison authorities have reportedly refused to release Gambaryan’s medical records, further complicating his situation. Additionally, he has faced challenges accessing his legal representation, which raises serious questions about the fairness of his treatment in custody. The combination of these factors paints a grim picture of the reality faced by Gambaryan while in detention.
Teng emphasized that Binance’s primary goal is to ensure Gambaryan’s safe return to his family and friends. “Our priority is really to get him home safely to his family and to his friends,” he stated. This plea underscores the emotional toll that Gambaryan’s detention has had not only on him but also on his loved ones who are anxiously awaiting his return.
In an effort to address regulatory concerns globally, Teng mentioned that Binance has been actively engaging with authorities in various countries, including India and Brazil. “We have been working collaboratively with global regulators around the world to resolve issues,” Teng explained, expressing a willingness to cooperate with the Nigerian government as well. “They don’t need to hold Tigran,” he added, indicating that constructive dialogue could lead to a resolution without further delay.
The case has garnered attention not only within the cryptocurrency industry but also among former federal prosecutors and current members of Congress. They have called on U.S. President Joe Biden, Secretary of State Antony Blinken, and Presidential Envoy for Hostage Affairs Roger D. Carstens to recognize Gambaryan’s detention as a hostage situation. The involvement of high-profile officials in advocating for his release highlights the seriousness of the issue and the potential implications for U.S.-Nigeria relations, as well as the global perception of Nigeria’s legal system.
As of now, the U.S. government has not issued any public statements addressing Gambaryan’s situation, leaving many concerned about the lack of diplomatic intervention. The unfolding events serve as a stark reminder of the complexities of international business and the need for fair treatment of individuals caught in legal disputes abroad. The world watches closely as the situation develops, hoping for a resolution that prioritizes justice and human rights.
Additional reporting contributed by Kevin Reynolds, Ben Schiller, Margaux Nijkerk, Jennifer Sanasie, and Mel Montanez.