Bankera, a Lithuania-based cryptocurrency fintech firm, is facing intense scrutiny following serious allegations of misusing funds raised during its 2018 initial coin offering.
An investigation by the Organized Crime and Corruption Reporting Project (OCCRP) claims that nearly half of the €100 million raised was redirected toward acquiring a private bank and financing extravagant purchases.
ICO funds secretly routed through acquired bank
The report alleges that Bankera’s founders—Vytautas Karalevičius, Justas Dobiliauskas, and Mantas Mockevičius—used a significant portion of the ICO proceeds to secretly acquire Pacific Private Bank, a small financial institution in Vanuatu. With full control of the bank, the trio reportedly approved large, unsecured loans to shell companies they controlled. These loans allowed them to access ICO funds with little transparency, bypassing the project’s intended development roadmap.
Instead of supporting Bankera’s blockchain banking services, much of the money was allegedly diverted into personal luxury investments and global real estate.
Luxury assets and real estate across multiple countries
According to OCCRP, leaked internal documents and bank records show that millions were spent on upscale assets in Europe and beyond. One major acquisition includes a €2.5 million villa near Saint-Tropez on the French Riviera, featuring sea views and modern amenities. In Lithuania, the founders allegedly purchased several high-end properties through intermediaries. These include a renovated building in Vilnius leased to tech companies, with the income reportedly benefiting the founders personally.
Additional purchases involved a mansion in Switzerland, a real estate investment in the UAE, and a fleet of luxury sports cars registered under affiliated entities. These revelations point to a pattern of using ICO funds for personal enrichment rather than for the benefit of token holders or Bankera’s original mission.
Lack of transparency fuels investor discontent
Lawyers continue to defend the founders’ financial methods by arguing that all transactions were legal and aimed at meeting Bankera’s objectives. The available representatives of the founders refuse to disclose explicit information about the specific allegations or to explain the source of properties and assets featured in the report publicly. Banking system users are becoming more irritated because the absence of communication from BNK has failed to deliver on the decentralized banking platform and token reward promises to investors. The organization did not fulfill its promise to acquire a European banking license. The complete value of BNK tokens remains less than one million dollars. The platform functions while persistent dispute with investors continues to damage their confidence.
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