Nadeem Anjarwalla, a key executive of the global cryptocurrency platform Binance, was arrested by the Kenyan Police Service, according to a report from local publication Punch. This arrest follows his escape from Nigeria, where he had been under custody amidst a governmental crackdown aimed at stabilizing the national currency. 

Anjarwalla had successfully evaded Nigerian authorities for weeks before being located and detained in Kenya. Reports indicate plans are underway for his extradition back to Nigeria with the cooperation of INTERPOL expected to finalize within the week.

Background of the Case

The situation began when Nigerian authorities targeted Binance as part of broader measures to protect the naira from speculative and disruptive activities in the forex market. 

Anjarwalla, alongside Tigran Gambaryan, Binance’s head of financial crime compliance, initially traveled to Nigeria to discuss these concerns but was detained upon arrival. 

“The takeover of the prosecution of Binance chiefs by the commission is no less a strong message in the direction of EFCC’s resolve to hedge in distortions and disruptions in the country’s forex market,” said anti-graft agency’s chief Ola Olukoyede.

The Economic and Financial Crimes Commission (EFCC) of Nigeria has leveled multiple serious charges against Binance and its executives, including tax evasion, currency speculation, and money laundering, allegedly amounting to over $35 million. These charges are part of what EFCC describes as efforts to curb market disruptions and maintain economic stability.

As per reports, the EFCC has been actively working with the International Criminal Police Organisation, the FBI, and law enforcement from the United Kingdom, Northern Ireland, and Kenya to address these allegations and facilitate the extradition process.

While Gambaryan remains in custody facing legal proceedings, Anjarwalla managed to flee, leading to an international manhunt.

This development poses significant reputational and operational challenges for Binance, as the company faces stringent scrutiny from governments and regulators across several countries.