Justice Emeka Nwite of the Federal High Court in Abuja has denied bail to Tigran Gambaryan, an executive of Binance Holdings Limited.
The judge determined that Gambaryan is likely to abscond if released on bail.
Gambaryan and Binance Holdings Limited are facing a five-count charge related to money laundering.
Both the company and Gambaryan have pleaded not guilty to the charges.
Mark Mordi, counsel for the defendant, argued for bail, asserting that the court has the authority to impose conditions ensuring the defendant’s appearance at future proceedings.
However, Ekele Iheanacho, representing the prosecution, opposed the bail application, describing the defendant as a flight risk.
Iheanacho highlighted that the defendant had attempted to obtain a new passport, claiming it was stolen, which appeared suspicious given the recent escape of a colleague from custody.
Iheanacho emphasised that the defendant’s American and Armenian citizenships increase the likelihood of him fleeing, noting that the defendant has no substantial ties to any community in Nigeria.
“The fact that the passport of the defendant is with the complainant does not guarantee that he will remain in Nigeria because the defendant is not only an American citizen but also an Armenian citizen by birth.
He urged the court to refuse bail and remand the defendant in the custody of the Economic and Financial Crimes Commission (EFCC) to prevent any potential escape and ensure his safety.
Justice Emeka Nwite, considering the nature and severity of the offence, agreed with the prosecution’s arguments.
The judge ruled that the defendant would likely abscond if granted bail.
Consequently, he denied the bail application and ordered that the trial proceed with an accelerated hearing.
Following the ruling, the EFCC presented its first witness, a staff member from the Securities and Exchange Commission.
Binance and its executives are currently embroiled in a legal battle in Nigeria, facing multiple criminal charges following a governmental crackdown on the cryptocurrency platform.
The charges include tax evasion, currency speculation, and money laundering, with the total amount involved estimated at $35.4 million.
This crackdown is part of a broader effort by the Nigerian government to strengthen the naira and regulate the flow of cryptocurrencies within the country.
The Central Bank of Nigeria (CBN) has claimed that Binance facilitated the transfer of over $26 billion through its platform without any traceable records.
CBN Governor Yemi Cardoso highlighted the significant financial movements through Binance, underscoring the regulatory concerns.
Two key Binance executives are at the centre of this legal storm: Tigran Gambaryan and Nadeem Anjarwalla.
Gambaryan has been denied bail by Justice Emeka Nwite, who ruled that he posed a flight risk.
The judge cited the severity of the charges and the potential for Gambaryan to abscond if granted bail.
Credit: Nigerian Tribune