Vanuatu Revokes Pacific Private Bank's License Following OCCRP Crypto Scandal Investigation

Vanuatu Central Bank Acts on Crypto Scandal

The Reserve Bank of Vanuatu (RBV) has officially revoked the international banking license of Pacific Private Bank (PPB), a decision that follows a comprehensive investigation by the Organized Crime and Corruption Reporting Project (OCCRP) into a significant cryptocurrency scandal. The revocation, formalized in a letter dated November 4, 2025, instructs PPB to immediately cease all international banking activities and return its license to regulators.

The central bank cited 'multiple violations of the International Banks Act' and the bank's 'failure to demonstrate good reason' why its license should not be withdrawn as primary reasons for the enforcement action.

Details of the Crypto Scandal

The OCCRP investigation, published in April 2025, revealed that Pacific Private Bank was allegedly instrumental in a scheme to funnel tens of millions of euros raised from investors in a cryptocurrency venture into private accounts and luxury assets. The scandal centers on Bankera, a Lithuanian fintech firm and cryptocurrency startup, whose founders are accused of using PPB for self-dealing.

According to reports, the founders of Bankera—Vytautas Karalevičius, Justas Dobiliauskas, and Mantas Mockevičius—allegedly diverted over €45 million from a 2018 Initial Coin Offering (ICO) into personal and related-entity accounts. These funds were reportedly used for:

• Purchasing high-end properties, including a €1.1 million villa in France and multiple real estate acquisitions in Lithuania.
• Issuing multi-million-euro 'personal use' loans directly to the founders.

Bankera had acquired Pacific Private Bank in 2018, during the height of its ICO which raised over €100 million. While Bankera promoted the acquisition as a strategic move to enhance its technological infrastructure and licensing opportunities, critics raised concerns about the transparency of buying a bank in an offshore financial center.

Regulatory Scrutiny and Broader Implications

The Reserve Bank of Vanuatu's decision to revoke PPB's license follows a warning letter issued in September 2025, in which the RBV accused the bank of breaching license conditions and demanded explanations. The swift action by Vanuatu's central bank signals a potentially tougher stance against financial malpractice, likely influenced by increasing global pressure to enhance transparency in offshore jurisdictions.

Vanuatu's financial sector has historically faced criticism regarding its oversight and transparency. This case underscores ongoing challenges in regulating the rapidly evolving cryptocurrency sector, particularly concerning governance and accountability issues that can arise from early enthusiasm for new financial technologies.