The creators of Bankera are being closely examined for moving millions of investor dollars to a bank in Vanuatu

The founders of Lithuanian finance firm Bankera face growing legal problems while a Vanuatu bank they acquired in 2018 seeks to fight back against the revocation of its license.

Legal challenges mounted this week for Lithuanian finance start-up Bankera, and the Vanuatu-based bank its founders acquired, following an OCCRP and 15min investigation that revealed how the owners appeared to siphon funds from their investors.

The investigation showed how Bankera’s three founders — Lithuanian businessmen Mantas Mockevičius, Vytautas Karalevičius, and Justas Dobiliauskas — acquired Pacific Private Bank (PPB) in Vanuatu, and moved millions of euros raised in a 2018 cryptocurrency fundraiser out of Lithuania to the Pacific island nation.

PPB had its international banking license revoked by the Reserve Bank of Vanuatu last month. However, PPB received a temporary reprieve this week thanks to a stay of the revocation while an appeal from PPB is heard in court.

Last week, however, Lithuanian authorities carried out more than 30 raids at companies associated with Bankera as part of a pre-trial investigation into the cryptocurrency fundraiser. Investigators are  looking at possible “embezzlement of property,” according to a statement by Lithuania’s Financial Crime Investigation Service (FNTT.) 15min reported that the FNTT seized documents, computers, mobile phones, digital storage devices and other items relevant to the investigation. 

No charges have been filed as part of the Lithuanian investigation. Mockevičius, Karalevičius, and Dobiliauskas did not respond to requests for comment, nor did the Reserve Bank of Vanuatu or a director of PPB.

PPB was acquired by Mockevičius, Karalevičius, and Dobiliauskas shortly before the conclusion of the Bankera cryptocoin offering scheme that raised over 100 million euros in just six months in 2018. The OCCRP and 15min investigation detailed how the Bankera founders funneled over 45 million euros from the coin offering proceeds into PPB’s accounts. From there, millions were poured into luxury properties and personal loans to the three owners. 

After interest in the cryptocoin offering died down, the Bankera digital currency collapsed, leaving investors facing losses. The cryptocoin, BNK, is nearly worthless today.