Euro Pacific bank is a scam

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Mavpu

New member
hi all, I have a company account in EPB. My business is legit and I have full invoicing and proofs of my activities.
Assuming I lose something or 100% and that there was some kind of breach (could be the non-responsible behavior in regards to the minimum capital to using our money to pay bank operations not respecting the 100% ratio), you think it will be possible to sue the guy? He has other activities in US, so I don't think it will be easy for him to just leave everything.
 

Golden Fleece

Entrepreneur
hi all, I have a company account in EPB. My business is legit and I have full invoicing and proofs of my activities.
Assuming I lose something or 100% and that there was some kind of breach (could be the non-responsible behavior in regards to the minimum capital to using our money to pay bank operations not respecting the 100% ratio), you think it will be possible to sue the guy? He has other activities in US, so I don't think it will be easy for him to just leave everything.
Him personally? Probably not, unless you can prove some type of fraud. One of the reasons for forming a corporation is to protect your personal assets from creditors of the corporation.
 

Martin Everson

Offshore Retiree
Staff member
Mentor Group Gold
Elite Member
Assuming I lose something or 100% and that there was some kind of breach (could be the non-responsible behavior in regards to the minimum capital to using our money to pay bank operations not respecting the 100% ratio), you think it will be possible to sue the guy?

You would hope nothing like this took place :(.

In any case you will get nothing out of him. His house in Connecticut is held in a Cook Island trust and I assume he has taken equal measure on asset protection with his other assets.
 

Golden Fleece

Entrepreneur
You would hope nothing like this took place :(.

In any case you will get nothing out of him. His house in Connecticut is held in a Cook Island trust and I assume he has taken equal measure on asset protection with his other assets.
Trusts mean little in the U.S. if fraud is involved. In general, trusts seldom work in the U.S. against legitimate debtors with deep pockets unless the trust corpus resides offshore in a strong jurisdiction, such as Nevis or the Cook Islands.

Trusts can certainly dissuade small creditors or those with limited funds, however, because a cost-benefit analysis (and a higher degree of uncertainty) often makes litigation cost-prohibitive.
 

Mavpu

New member
thanks for the answers.

I was wondering as in the director's responsibilities usually "people should act in good faith". I read all the Puerto Rico order published in the organization's website and his management behavior was very questionable. He had a clear responsibility to have 20% capital, he declared and was audited for 150+ M $ in 2019 and 2020, with a couple of million of capital. Puerto Rico told him it wasn't enough several times over the years.

Not caring about having 20% capital (this and also past years) or taking more accounts than the capital would support; can't be proven good faith.

FYI: From what I read, EPB declared 110M in deposits for 2021 closing (not audited). There was a real buyer in the order (company name and buyer name are disclosed in the order) but they didn't provide a good and complete business plan. Numbers and strategies were missing and weren't considered a good business plan.

Anyway considering that 7M from the new buyer were supposed to be additional capital (from the messages shared on internet) counting the 2M the company declared in the 2021 closing (not audited as reported in the order) means the company would have had 9M to cover the deposits so we should be talking of about 40-50M right now following the above assumptions.

Also, if the order is not uplifted, the organism that placed the order will give trimestral updates to each of the account holders about how the liquidation is going and what expenses the new "manager" will forecast for the closing. If the 100% ratio is respected, we should pay just this liquidation managers and costs that will be declared in advance.

If he didn't respect as advertised such ratio, I think it can be considered fraud.
 

Martin Everson

Offshore Retiree
Staff member
Mentor Group Gold
Elite Member
Anyway considering that 7M from the new buyer were supposed to be additional capital (from the messages shared on internet) counting the 2M the company declared in the 2021 closing (not audited as reported in the order) means the company would have had 9M to cover the deposits so we should be talking of about 40-50M right now following the above assumptions.

I read about the 2m also but if the below is to be believed they had a lot more in deposits than 40-50m as of December 2021 so 9m would not have been enough.


------ quote start

According to the bank’s unaudited financial statements, as of December 31, 2021, Euro Pacific had about $US66 million ($97 million) in cash, $US31 million ($45 million) in precious metals and $US110 million ($161 million) in deposits.

The regulator launched an eight-month investigation into Euro Pacific in October 2020, following allegations clients were using the bank to launder money and evade tax in their home countries.


---- quote end

Lets just wait for the Commissioners next press release. The last one was below from 30 June 2022.

 

Martin Everson

Offshore Retiree
Staff member
Mentor Group Gold
Elite Member
---- quote start

BANKING STATUS UPDATE: JULY 16, 2022
As you may be aware, the Puerto Rico financial regulator recently requested that Euro Pacific Bank pause its operations. In response, we complied by pausing all transactions to review the details of their request. In the meantime, a trustee has been appointed to administer the standard affairs of the bank to assure safekeeping and preservation of funds.

A hearing between Euro Pacific Bank and the regulator was scheduled on July 14, 2022. We can confirm that both parties are conducting negotiations, and we will share with you the results as soon as it is permitted.

We appreciate your patience through this process, and as usual, Euro Pacific Bank maintains a full-reserve ratio, meaning we make no loans and keep all client deposits on-demand.

---- quote end
 

Luveria

New member
update, seems that EuroPacific has 10 days to get back to OCIF.
in the meanwhile all transactions and accounts are frozen.
 

Attachments

  • Euro Pacific International Bank - Press Release.pdf
    290.6 KB · Views: 17

Martin Everson

Offshore Retiree
Staff member
Mentor Group Gold
Elite Member
update, seems that EuroPacific has 10 days to get back to OCIF.
in the meanwhile all transactions and accounts are frozen.

I already posted that document two posts above your one. And yup its old.

Welcome to the forum anyway thu&¤#
 

nobel

Active Member
BANKING STATUS UPDATE: JULY 25, 2022

As you may be aware, after the regulatory hearing scheduled on July 14th, Euro Pacific Bank and the Puerto Rico financial regulator entered negotiations for the continuation of bank operations.

We can confirm that we are now in advanced discussions with the regulator, and we will share with you results as soon as it is permitted.

Again, if you are not aware, the Puerto Rico financial regulator recently requested that Euro Pacific Bank pause its operations. In response, we complied by pausing all transactions to review the details of their request. In the meantime, a trustee has been appointed to administer the standard affairs of the bank to assure safekeeping and preservation of funds.

We appreciate your patience through this process, and as usual, Euro Pacific Bank maintains a full-reserve ratio, meaning we make no loans and keep all client deposits on-demand. blak""#¤
 

Martin Everson

Offshore Retiree
Staff member
Mentor Group Gold
Elite Member
This bank is like a zombie in a movie that just does not want to die.
 

Rick Ross 305

BANNED MEMBER
EPB used to have a sound business model, good platform and systems, don't think they were a scam or wrongdoers. However, they were careless, if not reckless, in terms of compliance and when they started making colorful headlines on newspapers there was a sort of bank run that made them breach the regulatory ratios from what I understood, so seems it was not intentional or in bad faith.
Anyway, applause for the rapid intervention of the OCIF, showed that PR is not a guacamole jurisdiction like others, that could have let it pass just with some warning notice or a reprimand email.
 

lostguy

Mentor Group Gold
He will never give up, I'm 100% certain on that. In a few months or a year he will pop up again either with the same bank just with changes or a brand new bank setup.
 

Martin Everson

Offshore Retiree
Staff member
Mentor Group Gold
Elite Member
He will never give up, I'm 100% certain on that. In a few months or a year he will pop up again either with the same bank just with changes or a brand new bank setup.

He is an entrepreneur so no doubt he will. My feelings though he will try and do whatever it takes to salvage the situation as his reputation is on the line. It will make it extremely hard for him to be in debates as a financial pundit with a collapsed bank to his name. I can see this happening on an imaginary debate show smi(&% i.e

"We welcome Peter Schiff to the show. Owner of Euro Pacific Capital and also former owner of collapsed bank Euro Pacific Bank. So Peter what you think about Bitcoin as of today....its lasted longer than your bank right?"
 

mrbrush

New member
BANKING STATUS UPDATE: JULY 25, 2022

As you may be aware, after the regulatory hearing scheduled on July 14th, Euro Pacific Bank and the Puerto Rico financial regulator entered negotiations for the continuation of bank operations.

We can confirm that we are now in advanced discussions with the regulator, and we will share with you results as soon as it is permitted.

Again, if you are not aware, the Puerto Rico financial regulator recently requested that Euro Pacific Bank pause its operations. In response, we complied by pausing all transactions to review the details of their request. In the meantime, a trustee has been appointed to administer the standard affairs of the bank to assure safekeeping and preservation of funds.

We appreciate your patience through this process, and as usual, Euro Pacific Bank maintains a full-reserve ratio, meaning we make no loans and keep all client deposits on-demand. blak""#¤
where did u get this message from?

I have around 300k usd on the bank, and i only found out today about this whole ****. is there anything i can do?
 

Martin Everson

Offshore Retiree
Staff member
Mentor Group Gold
Elite Member
where did u get this message from?

It was on EPB's website front page but its gone now.

I have around 300k usd on the bank, and i only found out today about this whole ****. is there anything i can do?

There is nothing you can do other than move your money. But the Fed closed their USD account a while back so wonder how USD transfers works today.

Anyway I wouldn't panic but just move on from the bank.
 

mrbrush

New member
It was on EPB's website front page but its gone now.



There is nothing you can do other than move your money. But the Fed closed their USD account a while back so wonder how USD transfers works today.

Anyway I wouldn't panic but just move on from the bank.
sorry its 300K EUR, and i cannot make any transfers. Its deactivated in my account.
 

Martin Everson

Offshore Retiree
Staff member
Mentor Group Gold
Elite Member
sorry its 300K EUR, and i cannot make any transfers. Its deactivated in my account.

Ok. I guess you will have to wait to find out. But contact support for help.
 
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