The Tribune

BY NEIL HARTNELL

TRIBUNE Business Editor

nhartnell@tribunemedia.net

DELTEC Bank & Trust is asserting that the 2024 sale of several business lines to a fellow Bahamian institution is no “violation” that justifies a payment provider withholding more than $20m belonging to itself and its clients.

The Lyford Cay-based institution, in south Florida federal court filings obtained by Tribune Business, hit back at claims it breached its agreement with Ibanera by failing to inform the US money services operator prior to announcing the September 2024 deal with Britannia Bank & Trust for the sale of its private banking and fiduciary portfolios.

That transaction ultimately closed in January 2025 and Deltec, which is battling to recover more than $20m it alleges Ibanera has “unlawfully withheld” and retained, slammed the latter’s claim that failing to provide it with advance warning of the Britannia deal violated the payment services agreement the two sides signed just months earlier in July 2024.

Ibanera, in its October 21, 2026, filings launched a counter-claim against Deltec alleging that the latter committed “numerous actions and transactions that violated the payment services agreement” including the sale to Britannia and failing to notify it in advance that this was happening.

“In or about September and October 2024, Deltec sold its banking and fiduciary business, and the accounts of most of its clients were transferred to a third party,” Ibanera alleged.

“The transaction was a significant change to the relationship among Deltec, its clients and Ibanera, and materially affected Deltec's ability to perform its compliance obligations under the payment services agreement. Deltec did not inform Ibanera of the transaction, did not seek Ibanera's consent, and did not address the implications of the transaction, in violation of the payment services agreement.”

Deltec, though, has instantly hit back with a November 11, 2026, bid to persuade the south Florida federal court to strike out Ibanera’s counter-claim. It argued that the agreement with Ibanera only required it to inform the latter if there was a change in beneficial ownership greater than 10 percent, adding that this can in no way be used to justify retaining the $20m-plus owned by itself and its clients.

“The counter-claim does not allege any change in who owns or controls Deltec. Ibanera alleges that Deltec sold its banking and fiduciary business in or about September and October 2024, and the accounts of most of its clients were transferred to a third party. This does not trigger any notification obligation under any of the above provisions,” the Bahamian bank and trust company countered.

“Ibanera attempts to make this event reportable with the conclusory allegation that the transaction ‘materially affected Deltec’s ability to perform its compliance obligations under the payment services agreement’. But this simply repeats the contractual language without any factual support.

“Ibanera does not identify a change in responsibility for compliance, a change in access to information, or any change in Deltec’s ability to carry out any obligation under the payment services agreement. The allegation that client accounts moved does not describe what change in performance occurred or was anticipated, or how the sale implicated continuing duties under the payment services agreement,” Deltec added.

“This is insufficient to state a claim. In short, the counter-claim lacks facts showing that the alleged transaction triggered the obligation to provide notice. Accepting the sale as alleged does not require accepting the unsupported legal conclusion that it violated the notice provisions Ibanera invokes. None supplies an adequately pleaded alternative breach.”

And Deltec, in the second of a two-pronged legal move, is making another attempt to persuade the south Florida federal court to impose a freeze on the assets it alleges Ibanera is improperly withholding from itself and its clients. It alleges that the first injunction bid was rejected based on the testimony of Ibanera’s principal, Michael Carbonara, which it claims has now been exposed as “false”.

“Deltec entrusted $20.632m to Ibanera solely to make payments at Deltec’s direction, and Ibanera agreed that the money would remain Deltec’s property, held in trust for Deltec’s sole benefit,” the Lyford Cay-based institution alleged. “Ibanera instead refused to return Deltec’s funds, unilaterally converted them to crypto currency, continued to show balances held in fiat, let the accounts that supposedly held them fall to a fraction of the principal….”

It asserted that Ibanera “moved the remaining assets into the custody of Binance”, the digital assets exchange that recently fell victim to hacking by suspected North Korean agents. As a result of this, and other financial dealings, Deltec is now alleging that Mr Carbonara “misled” both itself and the south Florida federal court in successfully resisting the earlier injunction bid.

“First, Carbonara testified that all of Deltec’s funds sat at Nium until early May 2025, when Ibanera converted them to US digital currency (USDC) and placed them in a segregated ledger wallet,” Deltec blasted.

“Ibanera later swore instead that the funds were held at Cross River Bank and that only $18.037m had been converted. Neither version is true: From February through early May 2025, the Nium balances were consistently below the amount of Deltec’s funds

“Second, the only May 2025 ‘conversion’ of $18m to US digital currency was funded with another customer’s money. Days after Deltec filed its first injunction motion on May 1, 2025, Ibanera cycled the US digital currency into and out of its operational wallet within hours… The wallet then stayed far below the claimed principal until late August 2025,” the Bahamian bank and trust company added.

“Third, when Deltec pressed for the address of the ledger wallet that Carbonara said held the US digital currency, Ibanera had to create evidence to support its story. On August 22, 2025, it sent exactly $18.037m US digital currency through its operational wallet to a Binance deposit address. About an hour later, counsel produced that Binance address.

“No ledger address has ever been provided, and ledger has no record of any wallet or service purchased by Carbonara or Ibanera. Ibanera’s sworn claim that the remaining $2.595m sat at Cross River fares no better…. Ibanera’s depleted Cross River custodial accounts supposedly hold not only part of Deltec’s $2.595m remainder but also $20m for Zand Bank.

“Ibanera admits that Zand funded the custodial account with $19.999m on December 29, 2025, describes those funds as held pending compliance inquiries, and denies that they were ever removed from Cross River or dissipated. The shortfall heightens the risk that property attributed to Deltec will be used to satisfy other customers’ obligations, and it shows why Ibanera’s word that it is preserving funds can no longer be relied upon.”

The Lyford Cay-based institution also alleged that Mr Carbonara, in previous court depositions, had confirmed Ibanera was taking $25,000 per month in fees from its deposited assets through April 2025 but denied that it levied charges when these were converted to crypto currency.

“In short, Ibanera did not segregate Deltec’s dunds for safekeeping. The court was misled about the status of the funds, about any need to move them,” the Bahamian bank and trust company added.

Deltec also alleged that, contrary to Ibanera’s claims, “no independent auditor” had verified the Bahamian bank or its accounts as an issue, while the payment provider itself - not Singapore regulators - was responsible for closing its accounts.

“These facts fundamentally change the preliminary injunction analysis,” Deltec is arguing. “Ibanera accepted custody of Deltec-owned property, exercised dominion over it inconsistent with Deltec’s rights, failed to account for it, and repeatedly moved and depleted the very position it now identifies as Deltec’s’

“Deltec seeks preservation of the specific property over which its surviving claims request a constructive trust - $18.037m US digital currency that Ibanera attributes to Deltec at Binance, and $2.595m purportedly held across Cross River and FalconX accounts.

“Deltec asks the court to restrain further disposition of that property, require verification of its custody and balances, and provide for neutral custody if necessary, or alternatively to order targeted discovery and advance adjudication of the narrow ownership and return issues.”