Author: Niu Ltd

Stung by criticism it has sold too many residency permits in return for lucrative investments, Cyprus is considering cutting back on the program that was begun after a banking and economic crisis hit in 2013.

An unnamed Interior Ministry official confirmed the slowdown is under review, the Chinese news agency Xinhua said, after the European Commission was said to be concerned over the pace of the program.

The official said one of the measures under consideration is to fix a ceiling to the number of people to whom the Council of Ministers could issue a passport in exchange for investment.

Nicholas Tofarides, an official of the Cyprus Land and Building Developers Association, said that Cyprus issued 1,360 passports since the program began, resulting in about 4 billion euros ($4.7 billion) in income from foreign investors.

“The number of passports is not that large to justify all this clatter and noise, given the fact that almost all European countries offer motives for people to obtain their citizenship,” said Tofarides, who heads one of the biggest land developing companies in Cyprus.

The Interior Ministry official said another measure which is under consideration is the prohibition of advertisements by large land developers who try to attract customers.

“The Ministry of Interior, along with the Finance Ministry and the Cyprus Investment Promotion Agency, favors imposing strict measures regarding advertisements which follow unethical lines,” the official said.

He added that some developers tend to give the impression to prospective customers that they have close ties with politicians and promise they can safeguard them a passport.

“Beyond fixing a ceiling and prohibit advertisements, we may also consider some other small changes to the program along the lines followed by similar schemes of EU countries to allay concerns expressed in Brussels, without affecting it very much,” the official added.

 

Source: tornosnews.gr

Caribbean states devastated by recent hurricanes are selling citizenship to Middle Eastern investors to raise funds to help their recovery.

But some officials warn that the islands’ rival schemes have fuelled a “race to the bottom” in which prized passports are being handed out cheaply.

Islands badly hit by last month’s storms included Dominica, where 90 percent of buildings were destroyed by Hurricane Maria on 19 September, and Barbuda, which was evacuated in the aftermath of Hurricane Irma on 6 September which destroyed most of the island’s infrastructure.

Dominican prime minister Roosevelt Skerrit pleads for help on the morning of the hurricane

But, as islands begin to rebuild after the storm season, some are now enlisting the support of new friends from the Middle East.

In recent years, many islands in the region have flung open their doors to Middle Eastern investors who are now fuelling a property bonanza that has been dubbed “Dubai in the Caribbean”.

On top of beach-side homes and swanky hotels, some investors are also seeking what has fast become a highly prized Caribbean export – a second passport.

These micro-states have populations that run into the tens of thousands but, as former British colonies and members of the Commonwealth, their passports grant visa-free access to the UK, the Schengen Area – the 26 European countries that allow passport-free travel between them – and countries as far afield as China and Singapore.

But Ralph Gonsalves, the prime minister of St Vincent and the Grenadines has railed against so-called “citizenship by investment programmes” and has told Middle East Eye that “citizenship should not be a commodity for sale”.

A former high-ranking US government official also told MEE that the programme could allow individuals associated with “transnational terrorist networks” to slip into the United States’ backyard.

Passports for sale

With many countries in the Middle East undergoing political turmoil, citizens of some countries have few visa-free travel options.

Yemeni, Iraqi and Syrian single-passport holders are limited to travel to about 30 countries visa-free including Malaysia, Ecuador and Micronesia. Iranians and Egyptians are among other nationalities that have few options for unhindered travel.

But a trip to the Dubai offices of global citizenship and residency advisory firm Henley & Partners could ease travel to many more countries – including to the major consumer markets.

They are one of a growing number of citizenship brokers which, through their close links with governments around the world, allow clients to purchase citizenship in exchange for investment.

Though the firm can arrange citizenship for some European countries – such as Austria and Malta – it says that many Middle Eastern citizens prefer a Caribbean passport because it costs less, takes less time and citizenship can be passed down generations.

“For those opting for a Caribbean programme, if all requirements are met, including thorough due diligence and background checks, the time to citizenship takes between four and six months,” said Marco Gantenbein, managing partner of Henley & Partners Middle East.

A client who wanted to do business in Taiwan might opt for a St Lucian passport, while a Grenadan passport would grant visa-free access to China.

According to the IMF, there has been a surge in clients from Russia and a steady rise in clients from the Middle East.

Strategic asset

Henley & Partners has seen a doubling in business from the Middle East since the 2011 Arab Spring, and Gantenbein says that clients from Syria, Iraq, Jordan and Egypt are moving to “globalise their family’s opportunities, secure their future and expand their business interests”.

 

“In many respects, citizenship has become a valuable and strategic asset for talented and wealthy expatriates and their families living in the UAE who want greater mobility and international opportunity, and more stability, freedom and security.”

UAE investors like Dubai-based Range Development which describes itself as “an international property developer focusing on high-end hotel resorts” are leading the way in teaming up with Caribbean governments to build the very real estate that would-be citizens will be investing in.

Their $200m five-star Park Hyatt on St Kitts which will open in November – complete with superyacht marina and golf course – allowed investors to pay $400,000 to take a share in the hotel and its profits, and be eligible for St Kitts and Nevis citizenship.

And in hurricane-hit Dominica, clients can get a passport and a slice of Range’s Cabrits Resort Kempinski – a beach side resort tucked away deep inside a rainforest – for $220,000.

Gantenbein says that the hurricanes could attract even more such investments as the islands look to rebuild.

Passports the largest export

He points to the Hurricane Relief Fund set up by St Kitts and Nevis where the price of a passport for a family of four has been slashed to a one-off donation of just $150,000.

But unlike Dominica and Barbuda, St Kitts and Nevis has been left relatively unscathed by the hurricanes, leading to accusations that it has tried to undercut its devastated neighbours and attract business during their hour of need.

The spat highlights just how vital the scheme is to the economies of the islands.

On Dominica, an island of just over 70,000 people, “passport money” accounted for around 10 percent of GDP at the end of 2013 according to the IMF, while passports were St Kitts and Nevis’s largest export accounting for 25 percent of GDP in 2013.

The programme has pumped some $500m into Antigua and Barbuda’s economy since 2014 and has helped pay for social security, cancer treatment and a state of the art hospital, according to Ronald Sanders, Antigua and Barbuda’s ambassador to the United States.

Sanders warns, however, that St Kitt’s price cut could “accelerate a race to the bottom that will significantly reduce revenues to other countries.

“They need all the revenue they can get to cope with rebuilding their countries after the devastation of Dominica and the decimation of Barbuda.”

The citizenship by investment programme is just one part of a series of deals which have been struck between the Caribbean and Middle Eastern nations in recent years.

On top of the $10m it gave to Antigua and Barbuda to help recover from the hurricane, UAE also ploughed $50m into a Caribbean renewable energy fund earlier this year

Meanwhile Saudi business delegations and diplomats have been taking the 11,000km journey from the Gulf to the Caribbean to meet heads of government, in trips arranged by the Trinidad Saudi Chamber of Commerce.

Ambassadors have been exchanged too, including the actor Robert De Niro, who as Antigua and Barbuda’s special envoy has flown to Dubai to encourage investment.

Remarking on these growing ties, Sanders said: “The Middle East represents an important market for tourism and attracting investment as the region itself looks outward for its own continued economic development.”

Victim of its own success

But the programme could be becoming a victim of its own success. In June, Canada cancelled visa-free travel for citizens of Antigua and Barbuda over fears that its lack of residency requirement for applicants posed a risk.

Canada had made a similar move against St Kitts and Nevis back in 2015 after a number of questionable people including a Kazakh wanted for embezzlement and two Ukrainians suspected of bribing a UN official – were able to get hold of passports.

Sanders adds that applicants to Antigua and Barbuda’s programme are subject to intense vetting including from Interpol and an inter-agency made up of the US, Canada and the EU.

But Peter S Vincent, a counter-terrorism expert and former senior counsel for international policy at the US Department of Homeland Security, said that nations could be sacrificing security for profit. He said this could lead to restrictions on visa-free travel coming from further afield, including in the European Union where many Caribbean countries have visa-free travel.

“My concerns about these programmes are based on whether the profit incentives result in less-than-robust deep diligence and vetting of applicants,” he said.

Vincent worries that “nefarious actors” have been able to exploit the system in the past. “I am especially concerned with the ability of individuals associated with powerful and well-funded transnational terrorist and criminal organisations to obtain so-called second passports through citizenship-by-investment programmes.”

The scheme has also been used as a way for Iranians to do business despite US sanctions. Capital Immigration, a Dubai-based citizenship broker run by Iranian expatriates, advertises a Dominica and St Kitts and Nevis passport on its website in both English and Farsi.

Though there are ways to do this legally, St Kitts and Nevis has already earned the ire of the United States after three Iranians were sanctioned by the US Treasury Department for using their St Kitts passport to launder money on behalf of banks in Iran.

According to Sanders, “Antigua prohibits nationals of Iran from the Citizenship by Investment programme unless they already have permanent residence in Canada, the USA, UK, UAE, Australia, New Zealand or Saudi Arabia.”

‘Citizenship is not for sale’

But not all Caribbean micro-states are so keen on citizenship by investment. Despite being one of the poorest countries in the region, St Vincent and the Grenadines – famed for its pristine coral reefs and for royal favourite Mustique – has opted out of the programme.

“Our position is simple: The highest office in the land is that of citizen. It is what constitutes the bond between persons within a political society and it is not for sale,” said Ralph Gonsalves, prime minister of St Vincent and the Grenadines.

 

Gonsalves claimed that in some Caribbean countries, 10 to 15 percent of the population are economic citizens, a situation that is likely to get worse.

“A country like that is not a serious country that is going to gain respect. You may get a bonanza in the short time, but in the medium term they’ll be adversely affected.”

According to IMF figures, in 2013 alone St Kitts approved over 1,000 new applicants against a population of just over 54,000.

Gonsalves, who opened formal diplomatic ties with the UAE in 2009 and who has received funding from Dubai for education this year, said that his country also enjoys good relations with Qatar, Kuwait and Palestine but that he preferred to look for investment “in the most sustainable ways”.

“We are building relations in the Arab world. It takes a little patience to build confidence and trust there,” he said.

 

Source: middleeasteye.net

Got some bitcoin burning a hole in your digital wallet? And paradise on the mind? You may be able to use it to buy a second passport.

Fork over 49.3 bitcoins, the equivalent of about $280,000 to a brokering agent, and your family of up to four might be able to receive passports to Vanuatu via so-called investment citizenship. The New Economics Foundation, a U.K.-based think tank, calls the South Pacific archipelago of some 80 islands the fourth-happiest country in the world. (It ranked No. 1 when the list was first published in 2006, but like the vagaries of the market, happiness can be a fleeting thing.)

As volatile as the cryptocurrency itself, so has the local reaction been to this idea, which was first reported by Investment Migration Insider, a website focused on investment citizenry.

“The Citizenship Commission is only recognizing USD as prescribed under the Citizenship regulation and no other form,” said Samuel Garae, Acting Secretary General of the Vanuatu Citizenship Office, in an emailed statement on Oct. 20, correcting earlier reports that Vanuatu would accept payments directly.

“This might be from the Agents but not Citizenship,” he continues, referring to a non-binding letter from Vanuatu’s Parliamentary Secretary that lent support to the idea of allowing bitcoin payments. All final payments would still need to be handed to the government in American dollars.

Vanuatu joins other island nations such as Antigua, Grenada, Malta, and St. Kitts and Nevis in offering citizenship for a price. Advantages include the 34th-most-“powerful” passport in the world, providing visa-free visits to 116 other countries, according to the Passport Index, a list of rankings maintained by Arton Capital, a company that facilitates foreign residence and citizenship applications. Vanuatu falls right below Panama and Paraguay (tied) and above Dominica; the U.K. is in a tie at third place, the U.S. at fourth, and Russia at 40th.

The country also has no income, inheritance, or corporate tax. It’s not even customary to tip there, according to the Vanuatu Tourism Office. The archipelago is relatively accessible: about a three-and-a-half-hour flight from Sydney to Port Vila, the capital. And scuba aficionados will appreciate that it’s home to the world’s largest diveable wreck—the SS President Coolidge, a luxury liner-turned-troop ship that sank during World War II.

Should you really want a place to escape, Vanuatu’s abundance of islands and relatively small population (about 290,000) mean that your own private island may be within reach. The least expensive one currently on the market, according to real estate website Private Islands Online, is Lenur, priced at about $645,000. For that you get 84 acres including three sandy beaches, a handful of sleeping bungalows, and an open-plan kitchen. Most of the property is covered in coconut, fruit, and nut trees.

Still, like investing in cryptocurrency in the first place, tropical life doesn’t come without risks. Earlier this month, residents had to be evacuated from the northern island of Ambae because its volcano, Manaro Voui, had rumbled to life and was spewing steam and rocks.

 

Source: bloomberg.com

For those who have yet started to prepare or review their response, what are the key questions they should be asking?

What is the consultation about?

When the free movement rights of Europeans end with the UK’s departure from the EU, this will be replaced with an entirely new immigration system. Home Office ministers and officials are thinking about the design of that immigration system and are now beginning to involve businesses and the public.

The first step is to gather the evidence. The MAC have called for evidence from the public to assist them in preparing their response to the Home Secretary’s request for advice on:

• The economic and social impacts of the UK’s exit from the European Union; and
• How the UK’s immigration system should be aligned with a modern industrial strategy.

It sounds like a big  job. Where can I find an easy guide to help me understand how to respond?

Fragomen has prepared a tool kit for employers.  Click here for practical advice and guidance.

How can I check that my response is prepared along the correct lines?

Fragomen is working with our clients in multiple industries to prepare their submissions. Your contact can provide assistance and guidance every step of the way.

 

 

The Government of Antigua and Barbuda has announced on Thursday, 12^th October 2017, its intention to reduce the investment threshold for the National Development Fund (NDF) option, by 50%; from US$200,000 to US$100,000 for a family of up to four persons, and from US$250,000 to US$125,000 for a family of five and over.

This policy adjustment has been informed by extensive market research and an assessment of the Programme. The government realizes that, if the Programme is to maintain its market share in the industry, it must be flexible and be able to respond to the evolving demand dynamics.

The legal work required to effect this change will likely take up to four weeks.  We will advise of the effective date once the required legislative amendments have been concluded.

Please be advised that processing and due diligence fees remain unchanged.

 

Official Statement

 

The Dutch coalition government are allowing their citizens residing in the UK to take up dual citizenship.

The People’s Party for Freedom and Democracy, the Christian Democrats, D66 party and the Christian Union managed to strike an agreement, releasing a blueprint with plans for tax cuts, Brexit negotiations, state-sanctioned cannabis plantations and plans for the Dutch fishing plans for the next four years.

“The cabinet will prepare proposals for the modernisation of nationality law. It concerns an extension of the possibility of possession of multiple nationalities for prospective first-generation emigrants and immigrants,” the document says.

The new promises for dual nationality is a big step for the Dutch government, who have previously imposed limits on dual nationality and stripped Dutch nationals of their passport when gaining British citizenship.

“It is a major step forward, but it doesn’t apply immediately. We will have to legislate,” said Sophie in ‘t Veld, a Dutch MEP.

“But when we do, people who emigrate will have the right to dual nationality, although their children will have to choose their single nationality at some point.

“The document also pledges to maintain EU solidarity in the talks, which may disappoint some in Britain but that is the way it is.”

This news comes as a positive step for those 100,000 Dutch nationals living in Britain with an uncertain future.

Previously, the Prime Minister was opposed to the idea of dual citizenship, saying: “This is because having a nationality is always associated with an actual link to a certain country. If at some point there is a question of a connection to the Netherlands or if the link to another country has become stronger than that with the Netherlands, Dutch nationality will end.”

The blueprint also included plans to close the country’s coal-fired power stations by 2030 in order to meet the country’s obligations under the 2015 Paris climate agreement.

“All parties came with some last-minute wishes. But the government pact is now definitely ready,” said the Prime Minister.

The Dutch coalition has 76 MPs in the 150-seat lower house of parliament, with a one-seat majority.

 

Source: theinvestmentobserver.co.uk

Naturalized citizens of Antigua and Barbuda who are involved in serious crimes face the risk of deportation and loss of their citizenship.

This was announced by Attorney General Steadroy “Cutie” Benjamin who noted that changes will be made to the Antigua and Barbuda Citizenship Act.

Persons who have resided in Antigua and Barbuda for seven unbroken, consecutive years are entitled to become citizens of the country, and receive all the benefits like those who were born here. Individuals can also obtain citizenship through investment, descent and marriage.

Benjamin said crime is becoming a serious problem and in order to protect the people, those individuals found to be involved in serious illicit activities will be booted from the country, despite having been granted citizenship.

He said once the prime minister is satisfied that a person is a threat to national security, the appropriate steps will be taken to revoke their citizenship status and send them back to their country of birth.

“I saw a list and the PM saw a list too where persons were sent back to Antigua from the States and other countries who committed offences there. We want to make it clear that if any naturalised citizen or registered citizen by registration is deported and come back to Antigua having committed crimes over there, you too fall prey to the same consideration. In other words, if you live in Antigua, you live for seven years consecutively and you qualify for citizenship, you receive citizenship and you leave Antigua and go to another country overseas and commit a crime over there and sent back here, you gone back to your country as well. So we want you to understand that that also is in the offering. We want to make certain that we protect this country,” Benjamin said.

The prime minister disclosed in Parliament yesterday that at least two people have been deported back to their country of birth and four others will be declared persona non grata and returned to their country as well.

Head of the Democratic National Alliance (DNA) Joanne Massiah recently made a call for the country’s open door policy to Caricom nationals to be reviewed taking into account the recent upsurge in violent crimes.

 

Source: stlucianewsonline.com

After a wait of seven years, Xiao Duan finally moved to Canada with his father and got a permanent resident card. Duan is one of millions of Chinese families that have realized their “immigration dream” through other countries’ investment immigrant programs. However, compared to the traditional program, Chinese immigrant agencies pointed out that lower costs and lower thresholds mean skilled immigrant programs have become a major choice for Chinese people seeking to move abroad.

Moreover, migration experts noted that along with the promotion of the Belt and Road initiative, European countries have gained rising popularity among Chinese immigrants.

According to the 2015 Report on Chinese International Migration, the third in the annual Blue Book Report series, released by think tank The Center for China & Globalization (CCG), the total number of Chinese migrants was around 60 million, making it the largest international migration group in the world. The main destinations of Chinese migrants are the US, Canada, Australia, South Korea, Japan, and Singapore.

Simple process

In 2007, Duan’s father applied for the investment immigrant program in Canada in the hopes of finding a better career. Among his investment was a house valued at C$50,000. However, he had to wait for seven years to get a permanent resident card and became caught up in a long-term lawsuit against the Canadian government after it proposed new requirements for immigration.

But now, the majority of Chinese migrant families are realizing their dreams through technology programs.

According to statistics from Shandong-based NewAchieve migration agency, at least 4,000 families will move overseas in 2017. Before 2007, around 300 families in Shandong moved overseas every year.

The report said that applicants with high-level academic degrees and skills are becoming the mainstream of Chinese international migration, as the requirements are comparatively low and the process is simple. Meanwhile, 90 percent of local migrant families did not live in overseas countries together. The fathers would work in China while the mothers and children would live overseas for a better education, and the families only reunited on holidays.

Posing as a client, the Global Times tried to contact a Beijing-based migrant agency, and a consultant told the reporter that it is very easy to apply for migration programs in some European countries.

“For example, if you want to move to Germany, you only need to pay 170,000 euros with an additional 50,000 yuan for agency payment. An undergraduate degree is needed but there are no requirements for your English level, no review of your assets and we can promise absolute success,” said the consultant.

He added that the money will be used for finding a guarantee company for the clients to get a work visa. Two years later, if the client passes the language test, he can get a permanent resident card.

The consultant promised that the process would only take a few months and the agency he works at has successfully helped dozens of families move to Germany this year.

David Chen, a migration lawyer from Shanghai-based Visas Consulting Group, told the Global Times that traditionally, Chinese families usually chose to migrate for their children’s education. However, in recent years, more and more people chose to go overseas for the different lifestyle and asset management reasons.

A recent paper released by Hurun Report in association with Chen’s consulting group revealed that education and living environment continue to be the main reasons for emigrating overseas for the fourth consecutive year, accounting for 76 percent and 64 percent respectively. In addition, a new motivation, the desire for an ideal living environment, accounted for 53 percent this year, while other reasons included medical care, with 29 percent.

However, Chen said, “Compared to investment migration programs, skilled migration programs have always been a major part of Chinese international migration.”

According to CCG’s report, in 2013, skilled immigrants from the Chinese mainland accounted for 28.2 percent of the total migrant population in the US, up 4.9 percent from 2012.

New trends

Chen noted that along with the flows of China’s foreign direct investment following the newly implemented Belt and Road initiative, a rise has been generated in international migration of Chinese laborers and entrepreneurs in the B&R countries.

According to an article published by the Berlin-based Dialogue of Civilizations Research Institute, a think tank that researches and develops proposals that address the key challenges faced by the international community, China’s migration to Africa and the Middle East is on the rise.

 

Source: globaltimes.cn

After years of short-term extensions, the fate of the EB-5 investor visa program is still unknown among local and national experts, but most agree that dramatic changes to the program are more likely than expiration.

The EB-5 immigrant investor visa program was designed to create jobs and spur national economic development by incentivizing foreign investment in commercial enterprises in return for a Green Card.

To participate in the program, investors must have a minimum investment of $1 million, or $500,000 in areas with high levels of unemployment – at least 150% above the national unemployment average.

The future of the program is uncertain, as Congress has had trouble passing a long-term extension, and continue pushing back the expiration date.

On Sept. 30, Congress yet again delayed the expiration to Dec. 8, and local and national experts are unsure what’s up next for the program.

“It’s a huge toss-up in Congress,” said Mikki Canton, managing director of the City of Miami EB-5 Regional Center, the only municipally run regional center in the nation.

“We have been waiting on it, extension after extension, and there is a sense of exhaustion and inevitability,” Ms. Canton said.

Though the continued short-term delays are designed to buy Congress more time to draft reforms, most people believe Dec. 8 will bring another short-term extension.

“Congress is really struggling with this issue, and the default position is to defer,” said Julián Montero, a partner in the Miami office of Arnstein & Lehr and a member of the firm’s Immigration Practice Group. “Expiration is the least likely scenario, and the most likely is another short-term extension.”

“The Senate and the House will most likely incorporate the extension of the program into whichever appropriations bill is happening at the time,” said David North, a senior fellow at the Center for Immigration Studies, a Washington think-tank.

Critics of the program say there needs to be additional transparency, a higher investment requirement and more regulations.

“At this point, it is benefitting the developers,” said Ms. Canton. “But on the other hand, has is helped developers boost the economy and create jobs? Absolutely.”

Though many people believe the program has gotten out of control, Ms. Canton said more regulation can help get it back on track.

“We’ll see more integrity measures in legislation and a great deal of oversight and due diligence,” Ms. Canton predicted.

Though developers do not favor regulations, Ms. Canton said she believes it could reconnect the program with its original intent to drive economic growth in underserved areas.

“It’s going to make developers build incredibly wonderful things in areas they’d prefer not to,” Ms. Canton said about new EB-5 regulations. “Developers will develop where the need is and where they can; it will be more focused and we will have a renaissance.”

The Targeted Unemployment Areas (TEA) that reduce the minimum investment are not regulated nationally, and many critics of the program say developers are gerrymandering to take advantage of the EB-5 investment money and avoid directly investing in impoverished communities.

“The TEA concept is being studied more carefully to create one standard for every project, rather than states using census tracts” to connect economically diverse areas, Ms. Canton said.

“If gerrymandering is a problem, then it is up to Congress to fix it,” she said. “As you grow, you need to take a prudent look at where you are and what changes you need to make; the banking industry does it all the time.”

The program also has moral objections, as many believe that the US shouldn’t be selling visas to benefit already-rich developers.

“Morally, we shouldn’t be selling visas,” Mr. North said. “And if we’re going to sell our visas, we might as well make sure that the money received is going toward a public purpose, and this never does.”

If the program expires come December, nobody is certain about how it would play out.

“It wouldn’t stop abruptly,” Mr. North said. “It would protect the interests of the developers.”

Though Mr. North said he believes an end to the program would not hurt developers, Ms. Canton says they are the only party at risk if the program expires.

“Private developers are relying on the money to get the projects off the ground,” Ms. Canton said. “But [expiration] wouldn’t hurt any of the local projects or Miami’s industry.”

Though roughly 80% of immigrants entering the US using EB-5 visas are Chinese nationals, Mr. Montero said that South Florida industry is unique. “The overwhelming percentage of investors in our market represent Latin America,” he said.

“Perhaps the South Florida market is a model of what a health EB-5 market is moving forward,” he said. “South Florida has a more diversified EB-5 market, and that makes it a healthier market.”

Miami’s market departs even farther from the national market in the operation of its regional center. Miami has one of the only publicly run regional centers in the US, and it can designate EB-5 projects in Miami-Dade, Broward and Palm Beach counties.

“Our center has been very careful to do projects in areas that are important to the city and to provide for the citizens’ needs,” Ms. Canton said. “We’re looking to provide workforce housing, elderly housing, medical buildings and mixed projects.”

“As a government run regional center, we are – and should be – held to a higher standard of transparency and compliance,” Ms. Canton said.

The planned Miami Marine Stadium renovation is to be partially funded using EB-5 money through the locally run regional center.

“The marine stadium is a perfect project because it’s an iconic jewel that defines our community and it will create a great deal of jobs in restoration and management,” Ms. Canton said.

As for future EB-5 projects, Mr. Montero said his team is active with several hospitality and restaurant related projects.

Ms. Canton said her team has been moving forward with the proposed Miami Veterans’ Village project and is looking at a number of new infrastructure programs.

“We’re excited about affordable housing and new multigenerational concepts that can bring together people from all walks of life,” Ms. Canton said.

“I welcome the changes,” she said. “With creativity and caution, this could be an extremely exciting time.”

 

Source: miamitodaynews.com

Chief executive officer (CEO) of the St Kitts and Nevis Citizenship by Investment Unit (CIU), Les Khan, gave some insight into the current due diligence process of the citizenship by investment (CBI) programme, implemented after 2015.

“Due diligence is an area that we take really seriously and more than any of the other islands. We have instituted additional steps in ensuring that the individual is of good repute,” he said on last week’s radio and television programme “Working for You.”

However, according to an advisory issued in May 2014 by the US Treasury’s Financial Crimes Enforcement Network (FinCEN), foreign individuals were abusing the St Kitts and Nevis CBI programme to obtain passports for the purpose of engaging in illicit financial activity.

Specifically, FinCEN believes that illicit actors are abusing the St Kitts and Nevis programme to acquire citizenship in order to mask their identity and geographic background for the purpose of evading US or international sanctions or engaging in other financial crime.

For example, FinCEN said that several Iranian nationals designated by the Office of Foreign Assets Control (OFAC) obtained passports issued through the St Kitts and Nevis CBI programme.

In particular, FinCEN advised that US financial institutions should conduct risk-based customer due diligence to mitigate the risk that a customer is disguising his or her identity with an St Kitts and Nevis passport in order to evade sanctions or engage in other financial crime.

This due diligence may include verifying the customer’s identity using a form of government-issued identification other than, or in addition to, the SKN passport, or using non-documentary methods that enable the financial institution to form a reasonable belief that it knows the true identity of the customer, including the customer’s country of origin.

If a financial institution knows, suspects, or has reason to suspect that a transaction conducted or attempted by, at, or through the financial institution involves funds derived from illegal activity, is an attempt to disguise funds derived from illegal activity, is designed to evade regulations promulgated under the Bank Secrecy Act, or lacks a business or apparent lawful purpose, the financial institution may be required to file a suspicious activity report.

In March of this year, US Ambassador Linda Taglialatela said the FinCEN advisory is not likely to go away anytime soon.

“We are working with St Kitts and Nevis to look at how we can work with the Department of Treasury on the FinCEN advisory. I am not sure that the advisory will go away but what we’re hoping is that they will be able to refine it and make it less restrictive,” she said.

The American ambassador acknowledged that the US has concerns about CBI programmes in the region, especially in the area of due diligence.

While Khan highlighted a number of different steps in the due diligence process conducted by the CIU, he made no reference to the ongoing difficulties that may be experienced by holders of St Kitts and Nevis passports in conducted financial transactions in the US as a result of the still extant FinCEN advisory.

Meanwhile, the St Kitts and Nevis CBI programme, which is frequently touted as “platinum standard”, has recently announced a third investment option that offers a 50 percent reduction in the contribution required from new economic citizens.

Addressing widespread criticism relating to the timing of the introduction of this new CBI option, which came just after its regional citizenship competitor Dominica was devastated by Hurricane Maria, Khan admitted that the timing could have been better, but claimed it had been conceptualized prior to the disaster in Dominica.

He nevertheless asserted that that the new Hurricane Relief Fund contribution option is legally sound, acknowledging concerns expressed following claims by the opposition that it is a “buyer beware” situation.

Opposition leader Dr Denzil Douglas claimed that the new citizenship option is “a watered down CBI initiative that has not been ratified by Parliament”.

He said in statement last Wednesday that “it raises legitimate serious questions as to the validity of the citizenship and the passport that will be derived from it”.

 

Source: caribbeannewsnow.com