A Nigerian court has denied a bail application for Tigran Gambaryan, an executive at Binance Holdings Ltd, citing his trial on money laundering and currency manipulation allegations.

The court ruled today (Friday) that Gambaryan's health condition did not justify his release. Justice Emeka Nwite of the Federal High Court in Abuja noted that illness alone does not warrant bail unless it poses a threat to others.

Binance Executive's Health Concerns

Gambaryan, who is the head of financial-crime compliance Compliance In finance, banking, investing, and insurance compliance refers to following the rules or orders set down by the government regulatory authority, either as providing a service or processing a transaction. Compliance concerning finance would also be a state of being following established guidelines or specifications. This designation can also encompass efforts to ensure that organizations are abiding by both industry regulations and government legislation. Understanding ComplianceCompliance is a In finance, banking, investing, and insurance compliance refers to following the rules or orders set down by the government regulatory authority, either as providing a service or processing a transaction. Compliance concerning finance would also be a state of being following established guidelines or specifications. This designation can also encompass efforts to ensure that organizations are abiding by both industry regulations and government legislation. Understanding ComplianceCompliance is a Read this Term at Binance, has been in custody since February. His lawyer, Mark Mordi, argued that Gambaryan needs medical treatment for a herniated disk that has severely affected his mobility. Gambaryan appeared in court in a wheelchair.

“We are deeply disappointed by the court’s decision to deny Gambaryan bail, particularly given his deteriorating health. He has been unlawfully detained for over 220 days,” a Binance spokesperson commented.

“Gambaryan did not go to Nigeria as a decision-maker and there is no good reason to continue to hold him,” the spokesperson continued. “We are committed to working with the Nigerian government to resolve issues, but Gambaryan must be allowed to go home.”

Following the ruling, Gambaryan’s wife, Yuki Gambaryan, expressed her disappointment, stating it was unjust for her husband to be denied necessary medical care. The legal conflict began in February when Nigerian authorities detained Gambaryan and a colleague during a visit to the country. The colleague escaped detention.

BREAKING: Nigerian Court rejects ‘sick' Binance executive Gambaryan's second bail application - https://t.co/nKxzDjFOfI pic.twitter.com/qptkQgOFQe

— Nairametrics (@Nairametrics) October 11, 2024

Gambaryan has been held at the Kuje correctional center in Abuja since April. In response to the situation, Binance has used social media to call for his release. CEO Richard Teng claimed that Nigerian authorities demanded a “secret” payment to resolve their issues. Nigerian officials have denied these allegations, labeling them a diversion from Binance’s activities.

Investors Allege Money Laundering

In August, Binance and its former CEO, Changpeng Zhao, faced a class action lawsuit from three cryptocurrency investors who allege the exchange failed to prevent money laundering, as reported by Finance Magnates.

Filed in the US District Court for the Western District of Washington, the lawsuit claims that stolen cryptocurrencies were deposited on Binance to obscure their origin, violating the RICO Act. The plaintiffs assert that Binance's platform facilitated the laundering process, making stolen assets untraceable.