The founders of the Crypto Fintech firm Banner use funds from the 2018 Initial Coin that offers the project to buy luxury features worldwide, according to a report of the organized crime and corruption reporting project.
The OCCRP reported On April 28, the company's leak notes and bank statements, which nearly half of the funds from the Banner's 100 million euros ($ 114 million) ICO were transferred to a bank in the Vanuatu Pacific Island country purchased by project founders, Vytautong Karalevičius, Justas Dobilieauskas and Mantas Mackevičius.
Soon, Vanuatu Bank was reported to have begun issuing millions of euros to loans to trio-owned companies to produce a luxury real estate portfolio-including a villa in French Riviera and high-end owned in Lithuania, where the project was established.
Leak records and statements reported showing that funds were used to underwrite loans to other companies, which were used to buy high-end real estate.
The Vanuatu bank also lends millions directly to three founders for “personal use,” according to an OCCRP report.
The lawyers representing the founders have been reported to have denied that the ICO was deceptive but refused to comment on specific transactions.
Cointelegraph was in contact with the banksa for commenting but did not receive an immediate response.
The over-promised banksa, not delivered
Banksa has pledged to be a “bank for the blockchain period,” which offers a suite of retail and institutional investment services while holding and exchanging most of the largest cryptocurrencies.
Many investors were attracted to the Banksa (BNK) ICO token by the promise of discount rates on the banks and products of the banks, including the opportunity to earn BNK's weekly payout.
However, an investor in Bancora's ICO at OCCRP said the weekly payouts began to “drop significantly below the promised value.”
The revenue sharing scheme was reported to have stopped in 2022.
Related: Tether Scales Payment Crypto in Eastern Europe with new investment
Banksa also reportedly promised to obtain a European Union banking license, which is not yet materialized.
Despite 100 million euro ICO to toply, BNK's fully melted token value is currently at $ 975,710, Coingecko data Shut up.
Banksa continues to provide crypto banking services and maintains an active presence of social media at LinkedIn and, in lower size, X.
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