The Reserve Bank of Vanuatu (RBV) has officially revoked the international banking license of Pacific Private Bank (PPB), concluding an investigation triggered by a damning exposé by the Organized Crime and Corruption Reporting Project (OCCRP) and its partners. This decision, announced on November 4, 2025, marks a significant development in the regulatory oversight of offshore finance in the Pacific, highlighting Vanuatu’s growing scrutiny of crypto-related financial institutions amid mounting global pressure for transparency.
Detailed findings from the investigation revealed that PPB was instrumental in facilitating a major crypto-financial scandal involving Lithuanian cryptocurrency startup Bankera. Bankera’s founders Mantas Mockevičius, Vytautas Karalevičius, and Justas Dobiliauskas used Pacific Private Bank to siphon over €45 million raised during their 2017-2018 Initial Coin Offering (ICO). This money was illicitly moved out of Lithuania through PPB accounts and subsequently diverted into various personal and corporate assets controlled by the founders.
Bankera had positioned itself as a promising player in the blockchain and fintech arena, boasting a vision to deliver banking services with crypto integration. As part of its strategy, Bankera acquired Pacific Private Bank, a 1997-established institution licensed in Vanuatu known for providing wealth management services within a low-tax environment. This acquisition was touted as a move to strengthen Bankera’s infrastructure and expand its capital base. However, leaked bank statements and internal records unveiled how PPB was exploited for illicit transfers loaning millions to companies owned by the founders and funding luxury real estate acquisitions including a €1.1 million villa on the French Riviera and several high-value properties in Lithuania.
The Reserve Bank of Vanuatu’s November 4 letter to PPB’s Managing Director, Eimantas Kazlauskas, confirmed the license revocation citing enforcement under the International Banks Act. The letter stated the bank had failed to show sufficient justification for why its license should remain valid, ordering immediate cessation of all international banking activities and the return of the license to RBV authorities. The regulator’s actions followed a September warning letter that highlighted PPB’s breach of licensing conditions and lack of satisfactory explanations for irregularities.
Vanuatu’s regulator did not publicly disclose specific details of the license violations, but the timing and circumstances strongly indicate that the OCCRP investigation findings were pivotal. Despite regulatory pressures, PPB leadership has consistently denied wrongdoing. Earlier in 2025, Kazlauskas affirmed compliance with Vanuatu’s banking laws and regulations, while resident director Martin St. Hilaire described the bank as a compliant and reputable independent private bank.
The Lithuanian Financial Crime Investigation Service (FNTT) responded swiftly to the OCCRP report and opened a pre-trial investigation into Bankera and its founders, focusing on potential criminal acts related to the handling of ICO funds. The FNTT’s inquiry aims to establish whether these funds were misappropriated as suggested by the financial flows uncovered. Bankera representatives have denied fraudulent intent, though the company’s tokens have lost nearly all value, and investor payouts have reportedly ceased since 2022, exacerbating concerns over the ICO’s legitimacy.
This case casts a spotlight on the broader challenges faced by offshore financial centers like Vanuatu, which have attracted crypto firms seeking low-regulation environments. Pacific Private Bank’s involvement in this scandal intensifies scrutiny on Vanuatu’s financial regulatory frameworks and its capacity to oversee complex crypto-finance operations. It also underscores the risks inherent in acquiring and using established banks in offshore jurisdictions as vehicles for poorly regulated crypto ventures.
The revocation of PPB’s license is part of Vanuatu’s broader attempt to respond to international demand for increased transparency and integrity within its financial sector, especially concerning crypto assets and related crime risks. While Vanuatu has traditionally promoted itself as a favorable place for international banking with flexible regulations, the PPB episode may signal a tougher stance in future enforcement actions.
In summary, the multi-jurisdictional investigation and subsequent regulatory action illustrate growing global cooperation in targeting financial crime related to cryptocurrencies. The Pacific Private Bank case serves as a cautionary tale for fintech entrepreneurs and offshore banks alike, emphasizing the need for robust compliance and transparency measures. Authorities in Vanuatu and Lithuania continue to monitor developments closely as investigations proceed.