The Economic and Financial Crimes Commission (EFCC) has failed to arraign Binance, Tigran Gambaryan and Nadeem Anjarwalla before the Court, Abuja in a suit marked FHC/ABJ/CR/138/2024.
The arraignment was adjourned following a strong objection from Gambaryan’s legal team which insisted that he is not an agent of Binance and cannot be charged as its representative.
The EFCC accused the defendants of money laundering and foreign exchange contravention to $35,400, 000.
EFCC alleged they concealed the origin of a cumulative sum of $35,400, 000 generated as revenue by Binance in Nigeria knowing that the funds constituted proceeds of unlawful activity.
The counts read in parts, reads:
“That you, BINANCE HOLDINGS LTD (A.KA BINANCE”) between January 2027 and January 2024 in Abuja within the jurisdiction of this Honourable Court not being an authorised dealer in Nigeria’s Autonomous Foreign Exchange Market used your virtual asset services platform to unlawfully negotiate foreign exchange rates in Nigeria and you thereby committed an offence contrary to and punishable under section 29(1) (C) of the Foreign Exchange (Monitoring And Miscellaneous Provisions) Act.
“That you BlNANCE HOLDINGS LTD (“A.K.A BINANCE”), TIGRAN GAMBARYAN, NADEEM ANJARWALLA (now at large) and other persons at large between January 2023 and January 2024 in Abuja within the jurisdiction of this Honourable Court conspired amongst yourselves to conceal the origin of the proceeds of your unlawful activities and thereby committed an offence contrary to section 21 (a) and punishable under section 18(3) of the Money Laundering (Prevention and Prohibition) Act, 2022.”
Gambaryan‘s lawyer, Mark Mordi (SAN), argued that his client could not take his plea. He refused to accept service on behalf of Binance because he was not authorised by the company to do so.
Mark said,
“My client doesn’t reside in Nigeria or carry out any business in the country. He has no physical footprint in Nigeria, and he is in no position to represent the First defendant (Binance) as he has not been authorised to do so.”
He also stated that there is no proof of service in the court file and urged the court to request that the prosecutor serve the first defendant or follow due process for an arraignment to take place.
According to him, the Administration of Criminal Justice Act (ACJA) requires the anti-graft agency to ensure that the company (Binance) has been served, and the company has appointed a representative in writing.
He stated that only then can services and processes be provided on Binance.
However, EFCC counsel Ekene Iheanacho maintained that, while Binance has no physical presence in Nigeria, Gambaryan serves as the cryptocurrency platform’s agent in the country.
Justice Emeka Nwite stated that, given the arguments presented by the EFCC regarding the possibility of arraigning Gambaryan, he would adjourn for a ruling.
The case was then postponed to April 8.