"Artemy firmly denies all allegations in this fabricated story.
This is clearly a scare tactic used against him for his outspokenness in recent political events, "the New York Rangers wrote in a statement.
It is his former KHL coach Andrej Nazarov, now coach of Neftechimik, who accuses Panarin of abusing an 18-year-old girl in Riga in 2011 when he played for Vitjaz Chekhov.
According to Nazarov, Panarin paid the equivalent of SEK 400,000 in bribes to avoid legal action.
Nazarov is described as a big supporter of Russian President Vladimir Putin, while Panarin has long taken a stand against Putin and recently opposition leader Alexei Navalny showed his support in an Instagram post.
Something that Nazarov criticized.
According to Rangers, Panarin is "shaken and worried" and will take a break from hockey.
The 29-year-old Panarin has averaged over one point per game during his 400-game NHL career so far.
His current seven-year contract with Rangers is worth $ 81.5 million, equivalent to just over SEK 670 million.