The Nigerian court postponed the hearing of Binance executive Tigran Gambaryan, who is currently detained in Nigeria. The Nigerian government’s failure to improve the conditions of the company manager, even though he was sick, caused a reaction from US officials.
Hearing Postponed
American Tigran Gambaryan, one of the managers in the Compliance unit of the Binance exchange, could not appear in court due to his illness. Gambaryan has been in prison since February and faces charges of money laundering more than $35 million.
Emeka Nwite of the Federal High Court, Abuja, announced that Gambaryan’s trial has been postponed to October 25. The postponement was made so Gambaryan could receive medical treatment.
Binance demanded Gambaryan’s release on social media. CEO Richard Teng stated that Nigerian authorities offered the company a ‘secret’ payment to resolve the problems.
Binance CEO Richard Teng – “Nigerian authorities demanded a secret payment from the company to resolve the issues.”
Nigerian officials denied these allegations and argued that Binance was trying to distract from its operations. Nigerian authorities had previously demanded billions of dollars from the stock market on the grounds that there was speculation on the local currency.
Binance’s Expansion in Africa
Binance has expanded its services in Africa by enabling the purchase of cryptocurrency via mobile payment through local partnerships in Benin, Cameroon, Ivory Coast, Democratic Republic of Congo, Togo and Senegal. However, it continues to experience serious problems with its operations in Nigeria. Gambaryan’s wife, Yuki Gambaryan, reported that her husband’s health condition has worsened and there is a risk of permanent damage.
Additionally, Binance is facing allegations of tax evasion, which the company categorically denies. The Nigerian government continues to shut down crypto exchanges linked to the illegal foreign exchange market.
Binance’s operations in Nigeria are struggling with both local regulations and ongoing litigation. Although market analysts say Binance can continue to grow despite these challenges, arbitrary prosecution and unfounded fines in the region could make things even more difficult in the future. Moreover, Gamberyan’s situation has been brought to the agenda in the US Parliament, and the government may decide to impose sanctions on Nigeria in the coming months and increase the pressure for his extradition to the country.
Binance’s situation in Nigeria is seen as a reflection of the challenges the company faces globally. The company’s future strategies and legal battles could have important consequences for the crypto markets.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
