An international investigation by Lithuanian media outlet 15min and Organized Crime and Corruption Reporting Project (OCCRP) has uncovered that the co-founders of Bankera, once a highly promising Lithuanian cryptocurrency project, misused tens of millions of investor funds from their BNK token ICO to personally fund luxury real estate.
Bankera, billed as the future of blockchain banking, raised over โฌ100 million in its 2017/18 ICO, promising investors weekly 20% returns from its own and crypto exchange SpectroCoinโs revenue.
Sponsored
However, the value of BNK quickly plummeted, and payments to more than 100,000 investors either stalled or stopped entirely, leading to significant losses for many. Seven years later, Bankera has failed to secure an EU banking license.
Meanwhile, the investigation uncovered that tens of millions of ICO funds were funneled into Pacific Private Bank (PPB) in Vanuatu, a bank owned by Bankeraโs three co-founders.
These funds were then used to finance loans to companies owned by the same founders, which subsequently purchased luxury real estate, including a villa on the French Riviera and high-end properties in Lithuania.
Acquired Tax Haven Bank
Bankera was founded by Lithuanian entrepreneurs Vytautas Karaleviฤius, Mantas Mockeviฤius, and Justas Dobiliauskas, and endorsed by European Parliament members, a former Lithuanian tax chief, a former bank president, and a prominent blockchain entrepreneur.
The company employed a complex structure across multiple jurisdictions to manage ICO funds. Finalify Ltd. in the British Virgin Islands issued the BNK tokens. Spectro Finance, a Lithuanian company, operated the SpectroCoin exchange, where BNK could be bought with crypto or traditional money. Pervesk, another Lithuanian firm, managed ICO funds for Spectro Finance.
In January 2018, just before the ICO ended, the three founders acquired Pacific Private Bank Ltd (PPB) in Vanuatu, a tax haven known for its “golden passport” program.
Leaked Records Expose Misuse of Investor Funds
Leaked records show PPB borrowed funds from companies linked to Bankera, including Spectro Finance, Finalify, and Spectro Finance Systems. These funds were then lent to the Bankera founders and other companies they controlled.
Millions were used to purchase luxury properties, including a villa on the French Riviera, high-end properties in Lithuania, and beach resorts in Vanuatu. PPB also loaned millions directly to the founders, who later became Monaco residents, with loans often marked as โpersonal purposes.โ
The investigation revealed that over 45 million euros (around $51.2 million) were transferred from SpectroCoin’s account at PPB.
In response, Lithuaniaโs Chief Prosecutor, Nida Grunskienฤ, has ordered a review to decide whether a pre-trial investigation into Bankeraโs co-founders is needed.
Why This Matters
The diversion of millions in investor funds to personal luxury assets, including real estate, raises serious concerns of fraud and unethical financial practices.
Explore DailyCoinโs hottest crypto news:
Is Ripple (XRP) Poised To Hit $2.90? What Do Charts Say?
Nike Hit with $5M Lawsuit Over Alleged NFT โRug Pullโ
