A Nigerian court has dismissed money laundering charges against Tigran Gambaryan, a high-ranking executive at cryptocurrency exchange Binance. The US citizen and head of financial crime compliance at the company had been detained since February, accused of laundering approximately $35 million.
Both Gambaryan and Binance have denied the allegations. The Nigerian government’s anti-graft agency said the charges were dropped due to Gambaryan’s deteriorating health.
The decision comes amid increasing scrutiny of cryptocurrency exchanges in Nigeria. The government has imposed restrictions on these platforms as part of efforts to stabilize the country’s currency, the naira. In March, Binance announced it was halting operations in Nigeria due to regulatory pressures.
While the charges against Gambaryan have been dropped, Binance still faces separate allegations of money laundering. The company denies these charges, and a trial is scheduled for next month.
Binance, founded in 2017, has become a dominant player in the cryptocurrency market. Its former CEO, Changpeng Zhao, became a billionaire due to the company’s success. However, Zhao was recently sentenced to four months in prison in the United States for his involvement in a separate cryptocurrency money laundering case.
Investigations by US Treasury agencies revealed that Binance had failed to prevent transactions by terrorist groups such as the Islamic State, al-Qaeda.