The detention of top executives from the cryptocurrency exchange Binance in Nigeria during business negotiations sets a dangerous precedent for companies worldwide, according to Richard Teng, CEO of the trading platform.
He explained that Binance’s Vice President of Global Intelligence and Investigations, Tigran Gambaryan, and the exchange’s Director for West and East Africa, Nadim Anjarwalla, were detained following a meeting with representatives from the ONSA, the president’s administration, the Central Bank, the NFIU, the EFCC, and the SEC. They were subsequently held responsible for the state of the naira and the Nigerian economy as a whole, and were accused of financing terrorism and money laundering.
Anjarwalla managed to leave Nigeria, but Gambaryan remains in custody for over 70 days.
“Tigran went to Nigeria not as a ‘decision-maker’ or ‘negotiator’. He simply acted as an expert on financial crimes and capacity building in political discussions,” Teng added.
All attempts by Binance to obtain practical guidance on the licensing process in Nigeria and offers to collaborate on an advisory basis were ignored by the local SEC. According to Teng, unknown individuals repeatedly offered Binance staff and their lawyer to “pay a fee to settle the charges.” These demands were rejected.
“The message from the Nigerian government is clear: we must detain an innocent mid-level employee and former US federal agent and place him in a dangerous prison to control Binance,” Teng stated.
He called for Gambaryan’s immediate release. Binance, for its part, is ready to cooperate closely with law enforcement and the Federal Inland Revenue Service of Nigeria to resolve any potential tax obligations.
In early April, Binance appealed to Nigerian authorities not to hold Gambaryan accountable, as he lacks decision-making authority within the company.
The fugitive Anjarwalla was tracked down in Kenya by law enforcement.
The court case against Binance has been adjourned until May 17.