Results for Pacific International Commercial Bank

The Supreme Court of Tonga has upheld a decision of the National Reserve Bank of Tonga to revoke the banking licence of the Pacific International Commercial Bank Ltd. Lord Chief Justice O. G. Paulsen in the Supreme Court of Tonga, on 5 July 2018 dismissed a claim by the PICB bank whose shareholders include HRH Princess Pilolevu. The bank's reported accumulated losses exceeded TOP$4.5million, causing reserve bank concerns that PICB was conducting unsafe and unsound banking operations.

The Pacific International Commercial Bank (PICB) is challenging last week’s decision made by Tonga’s National Reserve Bank to shut it down. “We will urgently take legal action against the National Reserve Bank of Tonga for the cancellation of our operating license,” said Mishka Tu'ifua, General Manager and Director of PICB today, 2 August.

The National Reserve Bank of Tonga wishes to assure the public that despite the revocation of the banking licence of Pacific International Commercial Bank (PICB) effective from 26 July 2016, the banking system remains sound. While PICB represented a very small proportion of the total banking system, the banks in Tonga continue to be profitable and maintain strong liquidity and capital position.

An application to appoint a liquidator for the liquidation of the Pacific International Commercial Bank will be mentioned at the Nuku'alofa Supreme Court on Friday, 30 January.

The Pacific International Commercial Bank is expected to open its doors in March as the fifth bank in Tonga. The Chinese-Tongan bank venture is aiming to offer interest rate at six-percent.