How two allies wrestled over a crypto giant and a prisoner

How two allies wrestled over a crypto giant and a prisoner

NEW YORK TIMES

After eight months in custody in Nigeria, an American working for the cryptocurrency firm Binance is coming home, ailing but alive, in a case that had strained U.S. ties with one of Africa’s most influential countries.

Tigran Gambaryan, a compliance officer for Binance, had been held on money-laundering charges as part of a sweeping Nigerian government case against the company.

On Thursday, a plane equipped with medical equipment departed Abuja, Nigeria’s capital, to bring him back to the United States. During his detention, Mr. Gambaryan had contracted malaria and double pneumonia, and he has a herniated disk.

His release came after months of diplomatic pressure by the United States and in return for American promises of an improved partnership with Nigeria, including on cybercrime investigations.

Jake Sullivan, the U.S. national security adviser, called Mr. Gambaryan’s wife, Yuki Gambaryan, on Thursday morning to let her know that Nigeria had released her husband. Mr. Sullivan said Mr. Gambaryan was being flown back to the United States for “needed medical attention.”

The detention of the American came as Nigerian frustration over Binance and other companies was rising, and as officials there sought more help in cracking down on cryptocurrencies for their country’s economic crisis.

Mr. Gambaryan had arrived in Nigeria just days before he was arrested in February. He was initially held in a government-owned guesthouse but was transferred to the notorious Kuje prison in April.

Tax evasion charges were later dropped. But prosecutors argued that Mr. Gambaryan was responsible for Binance’s alleged money-laundering activities in the country, which they said had contributed to the economic crisis. Binance has denied the claims and said that Mr. Gambaryan was a midlevel employee who should not be held responsible for the company’s actions.

“We are deeply relieved and grateful that Tigran Gambaryan has finally been released,” Binance’s chief executive, Richard Teng, said in a social media post on Thursday. “We are eager to put this episode behind us.”

When asked whether Binance had paid Nigeria to free Mr. Gambaryan, Deborah Curtis, a lawyer for Binance, said, “This was a totally humanitarian release.”

U.S. officials initially seemed divided over his detention. The State Department never officially designated him as wrongfully detained, and some officials insisted throughout his detention that there was not enough evidence to suggest that he was being improperly held. Some officials were also skeptical of Binance’s activities in Nigeria.

But others were convinced that Nigeria was using him as a pawn to pressure Binance. As part of a crackdown on illicit finance, Nigeria wanted the company to share more information about its customers’ identities than employees believed they could provide. But Binance insisted it had shared the concerns about illicit finance, one of the reasons they hired Mr. Gambaryan in the first place.

As Mr. Gambaryan’s health deteriorated, former colleagues from when he worked as an agent for the Internal Revenue Service pressed his case, as did several members of Congress.

Representative French Hill, Republican of Arkansas, who had visited Mr. Gambaryan in prison in June, said on Thursday that he celebrated Mr. Gambaryan’s release but was still aghast at how the Nigerian government had behaved.

“I remain deeply disappointed that an American business executive can essentially be held under horrible conditions on unfounded charges with an important international partner to the United States,” he said.

Tigran Gambaryan sitting in a wood paneled room surrounded by four men in judicial robes.
Mr. Gambaryan speaking with lawyers in court in Abuja in April. He had arrived in Nigeria days before he was arrested in February. Credit…Abraham Achirga/Reuters

U.S. officials had been quietly asking for Mr. Gambaryan’s release since at least June. In a visit to Nigeria on June 14, Christopher A. Wray, the F.B.I. director, raised the issue with the country’s national security adviser, Nuhu Ribadu, according to current and former U.S. officials.

Richard M. Mills Jr., the newly appointed ambassador to Nigeria, told officials the following month of how much of an irritant the case had become to Washington, according to U.S. officials.

As Mr. Gambaryan’s health worsened, the negotiations over his release intensified. Mr. Sullivan called Mr. Ribadu, on Sept. 11 and Sept. 30. In the first call, Mr. Sullivan said there were compelling reasons to free Mr. Gambaryan on humanitarian grounds.

The conversations with Nigeria were far less confrontational than recent U.S. negotiations with Russia over Americans wrongly imprisoned there. Russia tried to secure the release of people held in Western prisons in high-profile prisoner exchanges. But the United States and Nigeria are partners, and U.S. officials told their counterparts that they shared some of their concerns.

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