Euro Pacific bank is a scam

[Martin Everson]

Ok folks so here is the $1.25m Purchase Agreement document that Peter Schiff signed on behalf of EPB for sale of assets to Qenta et al.

https://9fraud.com/wp-content/uploads/1prW0BInnbzKVUZ1ognhb0CD1YeUNTMUF.pdf

Note that the buying parties are Qenta Inc, G Commerce DMCC and Responsible Gold Trading DMCC (last two both of Dubai). G Commerce license however expired back in 13/10/2023 and is awaiting termination and Responsible Gold Trading DMCC license expires in a few days from now.

FYI Responsible Gold Trading DMCC license expired 3 days ago on Feb 3rd 2025. So two thirds of the parties to the agreement with EPB now defunct. Only Qenta left standing....I hope.

 

[against the wind]

I don't know. But it would not have been ethical and I certainly would not have approved of that. But it never would have happened but for the illegal deal made between the IRS and the OCIF Commissioner. A lawsuit against those guilty parties is your best recourse.

we can sue everybody...you all screwed the customers

 

[SCHLOSSFINANZ]

I don't know. But it would not have been ethical and I certainly would not have approved of that. But it never would have happened but for the illegal deal made between the IRS and the OCIF Commissioner. A lawsuit against those guilty parties is your best recourse.

of course its illegal, and the question why PS/EPB did not insist on mechanism to SEGREGATE the funds properly come to my mind.

 

[against the wind]

of course its illegal, and the question why PS/EPB did not insist on mechanism to SEGREGATE the funds properly come to my mind.

Because they all had to work together to scam this?

 

[SCHLOSSFINANZ]

I am not accusing anyone here of fraud/scam I am just posing questions which a good businessman would pose to himself before entering into a business transaction

 

[Pschiff]

of course its illegal, and the question why PS/EPB did not insist on mechanism to SEGREGATE the funds properly come to my mind.

Again at the time the deal was signed, the expectation was that the money would go immediately to the segregated accounts of the customers. No one anticipated the Portugese government freeze that stop that from happening. Of course, OCIF and the IRS (plus the other J5 tax agencies) are responsible for that, as it was their fraud that led to the freeze.

 

[SCHLOSSFINANZ]

which segregated accounts??? Qenta is nowhere regulated so they can't offer segregated accounts. You are responsible for Qenta because YOU signed the asset deal. Period.

 

[Pschiff]

which segregated accounts??? Qenta is nowhere regulated so they can't offer segregated accounts. You are responsible for Qenta because YOU signed the asset deal. Period.

No the accounts were going to go into G-coin. Each customer was going to have their own account in gold. They had a license to provide those accounts. They were also trying to get additional licensing to offer currencies in addition to gold. All customers had a choice to withdraw their funds or allow the transfer to Qenta. Without that choice, all funds that were not withdrawn by customers where going to be confiscated by the PR government. I thought Qenta was a better option.

 

[john8899]

Again at the time the deal was signed, the expectation was that the money would go immediately to the segregated accounts of the customers. No one anticipated the Portugese government freeze that stop that from happening. Of course, OCIF and the IRS (plus the other J5 tax agencies) are responsible for that, as it was their fraud that led to the freeze.

Why should the Novo bank freeze allow them to not segregate funds and spend customer money as their own?

 

[Pschiff]

Why should the Novo bank freeze allow them to not segregate funds and spend customer money as their own?

They were waiting to recover all of the deposits, so that all of the bank's customers would be treated the same, regardless of their status as Opt in or Opt out. So Qenta was waiting for the bank to get the rest of the funds from Novo, before distributing money to the Opt ins. That what the Opt ins and Opt outs would all get paid at once. Plus if there was a short-fall, all customers would take the same percentage haircut. There was no way to know what that would be until all the funds were recovered.

 

[SCHLOSSFINANZ]

G-Coin is unregulated entity which has been struck of from the commercial registry in Switzerland.
Also they NEVER had a licence. Wondering what sort of DD you did before selling.

 

[Pschiff]

G-Coin is unregulated entity which has been struck of from the commercial registry in Switzerland.
Also they NEVER had a licence. Wondering what sort of DD you did before selling.

Qenta was going to buy the bank and add $8 million in capital. The bank was going to be a a separate company, wholly owned by Qenta. They were buying my shares. So the DD I did mainly related to me, as I was getting paid mostly in Qenta shares.I had another offer for the bank that was all gold. It actually had a higher value. But I thought Qenta was more qualified to run the bank than the other buyer.

 

[Pschiff]

That's what I was thinking. In which case some of the banks liabilities (Opt-in assets) were sold to Qenta by EPB. Qenta bought those assets in theory. Clients implicitly agreed to the sale of their assets to Qenta by not opting out. The question is whether the assets that were moved to Qenta are segregated from Qenta's own assets? Basically are they held under financially regulated conditions in a custodial account arrangement and marked as liabilities to customer or were they just sent to Qenta's business account for them to do as they wish. i.e take out loans, encumber the funds, spend or transfer et.

Basically if your an opt-in client and don't have any agreement in writing over what you agreed to when your assets were moved to Qenta then your in a weak legal position to do anything if something goes wrong now. The status of the funds may no longer be liabilities of Qenta but now assets where you have no legal claim whatsoever. It would be like me going to a bank and telling 1,000 customers of the bank to transfer their money to my XYZ Cayman Ltd business account and I will offer you the ability to withdraw the funds at a later date on a new platform. You basically agreed to send me funds with no legal protection in form of confirming the funds will be held in a segregated custodial account similar to how EMI's and brokers etc have to hold customer funds.

Also I don't think if Qenta is paying $1.25m in total for opt-in accounts that your gonna be able to withdraw funds from them easily without them recovering the $1.25m they will have spent buying those accounts.

P.S It needs to be confirmed if Qenta is paying $1.25m for the Opt-in client accounts. And PS would be able to answer this. But for those that opted for Qenta hope for the best and put aside worst case scenarios for now like I mentioned above. But I think it will be extremely difficult to get all your money back out of Qenta if your opted in.

They paid $500K up front. They are refusing to pay the balance as they claim the unexpected delay in the process cost them a lot of money they had not anticipated on spending.

 

[Pschiff]

Pardon? Qenta was introduced and vetted by PS. PS wanted to sell EPB to Qenta. When that failed because Qenta was not deemed fit and proper by OCIF he agreed to asset deal to Qenta. The liquidator had ZERO to do with that.
The liquidator is not resposible for the Qenta fiasco at all

There were other buyers of the bank, but both OCIF and the liquidator refused to even consider their offers. Qenta was never deemed unfit to own the bank. The IRS wanted the bank shut down as a PR stunt for the J5. So the Commissioner rejected the sale she had initially supported. I only went through with it after she told us all that she was in favor of the transaction.

 

[Pschiff]

We did. We have no control over what a corrupt regulator and IRS agents do. The bank obeyed the law and followed the regulations. They did not.

OCIF is doing their regulatory job. PS is blaming them, at the end the bank owner and CEO are responsible to run a bank WITHIN the regulatory framework of the respective jurisdictio

 

[Pschiff]

So we have a 100% reserve bank that was apparently in severe capital difficulties in 2021. How can that be? The plaintiff already wants to sell it at this point. In August 2022, however, these difficulties no longer exist (p.27, (5)), https://9fraud.com/civil-rights-claim), but very significant amounts of capital have flowed out.
Peter Schiff's lawsuit seeks + USD 56 million in damages from the defendants.
The narrative of the lawsuit emphasizes the role of EPB as a liquidated bank that was driven there by a conspiracy. The plaint states:
Tuesday Sept. 21st 2021 (page 24, k)), https://9fraud.com/civil-rights-claim) plaintiff meets with OCIF to discuss the bank's losses, which would have resulted from the negative press due to the Atlantis investigation, to sell the bank, including its banking license (page 5, e) et seq.), or merge. At this point, the plaintiff already seems so convinced that he wants to get rid of his bank that he even offers OCIF to liquidate EPB itself if a sale or merger does not work out.
Nov/10/2021 (page 9, g)) a meeting is held for the sale as a stock sale with OCIF, which would have brought the plaintiff USD 17.5 million in 2022. EPB was to go to Qenta, making Peter Schiff a shareholder there, among others. The negotiations lead the plaintiff to offer a capital injection of USD 7 million for the bank in order to allow the deal to go ahead.
Subsequently, OCIF offers Mr. Peter Schiff to sell the bank as an asset sale for only USD 1.25 million (p.6, i)
By June 30th, 2022, the plaintiff again does not believe that the IRS is investigating EPB and him as bank owner. (page 4, b) ff.). On this day, the press conference takes place that changes everything.
On Aug. 9th, 2022, the plaintiff signs a deal with OCIF for a 90-day liquidation period of EPB (p.28, m))
Putting things in perspective in general: A rate hike by the FED was already under discussion during above mentioned time period and it finally happened in March 2022: the Fed raises interest rates in 11 steps, in the steepest interest rate hike in its history. Peter Schiff’s regular reflections about the FED make me think whether this development could have been a key motivator to get rid of EPB almost at any cost?

The bank was losing a of money back then due to the bad publicity about the J5 investigation. But the bank was never in bad financial shape as I was covering the bank's losses personally, about $250K per month. So customers where never at risk. All of their deposits were held in cash, plus a few million extra cash in capital. Rate hikes would have been a huge positive for the bank, as it could have earned interest on its deposits. It was earning a lot of interest pre COVID. But after COVID the Fed cut rates to zero and the bank lost out on a lot of income.

 

[Pschiff]

Let’s assume PS will win his private lawsuit and get 56MM. He advised us to file other lawsuit right after and we will get all the funds back about 60MM and it is happy end.

I cannot believe this one, not even in my wildest dreams. It just will never happen.

The little island of Puerto Rico will not exist anymore.

You guys should not wait to file. I would do it now.

 

[Pschiff]

The opt-in clients including me have chosen Qenta voluntarily, what was my second biggest mistake after opening account with EPB, if Qenta has wasted our funds or part of them.

PS knows the truth, if he wants tell that to us.

In case he will be silent, it is already an answer.

I am still trying to find out the situation with Qenta. I have emailed and called and am still waiting for a reply.

 

[Pschiff]

EasyBank (Austrian bank: https://www.easybank.at/easybank):

Is entering Puerto Rico in 2025 as an “Entidad financiera internacional” (EFI, or International Financial entity) – just like Euro Pacific Bank was !

See local recent PR news: https://www.elnuevodia.com/english/...aims-to-become-a-digital-bank-in-puerto-rico/

So clearly OCIF not closing down all EFIs – as has been stated (wrongly) on numerous occasions! Some seem to be able to follow the rules!

EPB also followed the rules. The OCIF Commissioner did not. Neither did the IRS agents involved, including former Chief Jim Lee, and likely the current Chief as well.

 

[Radko]

I am still trying to find out the situation with Qenta. I have emailed and called and am still waiting for a reply.

If Qenta has spent the funds before distributing them to customers, I guarantee you that they are not going to tell you, as it would be criminal to spend money that doesn't belong to Qenta.

And where do the rumors come from in the first place, nobody here has access to Qenta's financial statements.