The Nigerian authorities have dropped charges against Tigran Gambaryan, a Binance official who had been held captive. This decision follows accusations from some U.S. lawmakers that President Tinubu’s administration was holding Mr. Gambaryan hostage to extort his employer, Binance, and pressuring U.S. President Joe Biden to intervene.
Overview
In February, Mr. Gambaryan and his colleague, Nadeem Anjarwalla, arrived in Nigeria for a meeting with the National Security Adviser, Nuhu Ribadu. This meeting took place amid Nigeria’s crackdown on cryptocurrency platforms, which the government claims aid currency speculators who harm the Nigerian naira.
Mr. Anjarwalla, Binance’s Africa regional manager, managed to escape from NSA custody on March 22 and left the country. However, Mr. Gambaryan remained in custody, facing trial on money laundering charges.
Since the crackdown began, Binance has blocked its website for Nigerian users, disabled its P2P function, and exited the Nigerian market.
Statements from Binance
A Binance spokesperson announced on Friday that the Federal Inland Revenue Service (FIRS) had dropped tax charges against Mr. Gambaryan. The spokesperson stated:
“We are relieved that the Federal Inland Revenue Service (FIRS) has served and filed amended charges today, resulting in tax charges against Tigran Gambaryan being dropped, further illustrating that Tigran is not a decision-maker at Binance and does not need to be held for Binance to resolve issues with the Nigerian government.”
This development followed a court hearing on Friday. Binance commended the FIRS for their diligence and professionalism throughout the process and expressed hope that the court would fully discharge Mr. Gambaryan.
Additionally, Binance urged the Economic and Financial Crimes Commission (EFCC) to drop all charges against Mr. Gambaryan to allow him to return to his family. The spokesperson highlighted Mr. Gambaryan’s deteriorating health, including recent diagnoses of malaria and pneumonia, and reiterated Binance’s commitment to working with the Nigerian government to resolve the situation.
Significance of the Development
The dropping of tax charges represents a significant step towards resolving the conflict between the Nigerian government and Binance. However, it also raises questions about the legitimacy of the initial charges and the extent of U.S. influence on the Nigerian government. This case will significantly impact the digital currency market in Nigeria and the future relationship between Nigeria and cryptocurrency trading platforms.
Bottom Line
The resolution of charges against Mr. Gambaryan marks progress in the ongoing conflict between Nigeria and Binance. It remains to be seen how this will affect the broader cryptocurrency market in Nigeria and the government’s stance on digital currencies. The outcome may set a precedent for how similar cases are handled in the future.
