...hmmm
One thing we have been curious about since we arrived in Grenada was the local Citizenship By Investment (CBI) program – so we thought it would be interesting to do a bit of research. It took us a while to get some background information but we found that Grenada is handing out citizenship and passports to people who wish to get out of their home countries and can pay large sums of money... We don't wish to take sides on this issue and certainly have no intention of trying to sway anyone from investing in this program, but it all seems a bit fishy...
We know that ill-gained funds can be hidden in many ways, and so can the background of an individual or family. Of course there are nice folks out there who are looking to find adventure and might wish to invest in a nice Caribbean island - awesome. But it seems the Grenada government is so hungry for monetary investment that their due diligence process might be taking a backseat to cash in hand.
The current government has already been accused of corruption. (http://thenewtoday.gd/local-news/2017/05/29/the-corruption-needs-to-be-exposed/#gsc.tab=0)
It has been stated by the media that there is a perception of corruption when the Citizenship By Investment (CBI) program, or “passport-selling scheme” is headed by the spouse of a Government Minister. Government “fees” in large dollar amounts are payable by investors who wish to engage with the program. It has also been disclosed that many of the agents working within the Ministry are either spouses or close family members of persons with Parliamentary positions. ...things that make you say hmmm....
According to "Wikileaks" (https://wikileaks.org/plusd/cables/06BRIDGETOWN429_a.html), the current Prime Minister of Grenada has been tarnished by numerous allegations of corruption, the worst of which involve Grenada's once thriving offshore banks and its economic citizenship program. This situation was highlighted by an individual convicted in the U.S. on fraud charges who reportedly paid a US$50,000 bribe to the PM in exchange for being named a Grenadian Ambassador. ...I dub thee Ambassador... thanks for the cash... The PM has also been linked to several offshore banks that defrauded investors of millions of dollars before collapsing. The former executives of one Grenada-based bank have been indicted in the U.S. for fraud. The PM has been accused several times of an exceptionally high level of wrongdoing that has impacted negatively on his domestic political standing.
A news story appeared in Caribbean News Now in October 2017 (http://wp.caribbeannewsnow.com/2017/10/20/regional-cbi-firm-linked-journalist-assassinated-malta/) which included reports in August 2017 of an alleged scheme to obtain a diplomatic passport from the government of Grenada for a Ukrainian businessman, in exchange for a payment of US$1 million. The Grenada government claimed that it does not have a diplomatic passport program and is not in the business of selling diplomatic passports to anyone. But the article goes on to say that this is contradicted by history: questionable circumstances by previous administrations led by the current prime minister included the granting of Grenada diplomatic passports, and this has been dealt with extensively in leaked diplomatic cables from the US embassy in Bridgetown, published by Wikileaks.
Based on a follow up story in WIC News in early December 2017 (http://wicnews.com/caribbean/grenada-cbi-head-denies-corruption-allegations-17118664/), the latest scandal began when a private blogger claimed to have evidence of wrongdoing in the form of messages between the PM and one Kaisha Ince, attorney at law and Chairman of Grenada’s CBI program. They are alleged to have been discussing a US$1 million diplomatic passport scandal through text messages, without denying its authenticity. It was denied by government officials as "fake news" after being published by the media. ...hmmm
Then a popular Grenada newspaper, The New Today, published a story in late December 2017 (http://thenewtoday.gd/local-news/2017/12/18/29843/#gsc.tab=0) with further details about correspondence and a lot posturing between the same blogger and legal counsel for the Chairman of CBI. "I have the actual videos of their telephones, which is an absolute defense to defamation. It is called TRUTH”. Those were the words uttered by the blogger and the article continues..., "in response to threats from the head of the local passport-selling outfit known as Citizenship By Investment (CBI) to bring a lawsuit against him for defamation of character."
Apparently the Government of Grenada subjects each citizenship applicant to strict due diligence procedures by the CBI review committee, and it will deny the application of any applicant who were discovered to have lied, have been convicted of an offense that would land them in jail for a similar offense in Grenada (unless they have been pardoned some way), or is a security risk who could cause disrepute to Grenada. Based on the links above it might also be a good idea to look within the Ministry.
So with this sketchy introduction, if investors are seeking to get involved in this citizenship process, here are steps that could be taken. Please do your own homework and research...
According to the CBI website (http://www.cbi.gov.gd/grenada-citizenship/type-of-citizenship/), new applicants can choose between two potential routes for citizenship.
These are:
A contribution to the National Transformation Fund.
An investment in an approved project (real estate) in Grenada.
The National Transformation Fund (NTF): is a Government held fund responsible for financing projects that will benefit Grenada’s economy and help its diversification. Applicants who choose this route must make a one-time contribution to the NTF - basically a gift - and allows the applicant to buy citizenship. Applicants must pay US$200,000 to the fund, plus another US$25K for each additional dependent beyond four. To complete, investors must also pay government fees that amount to US$8K per application (includes four family dependents) plus another US$8K for each additional dependent beyond four.
Under the NTF route, applicants may either immediately apply for citizenship, or first apply for permanent residence and then apply for citizenship at a later stage. Both routes require additional undisclosed government fees.
It is important to note that applicants may not contribute to the NTF in person, but rather that they must use the services of an Authorized Local Agent.... remember that many of its agents are either spouses or close family members of persons with Parliamentary positions.
Approved Project (Real Estate) in Grenada: Another option available to applicants seeking to obtain citizenship is to invest in a Government-approved project. Currently, these projects encompass real estate developments such as hotels, villas, and resorts. Because of the growth of the tourism industry, there is rising demand for tourist housing facilities – short term and long term.
Investors can choose from viable projects that have been vetted by agents of the CBI committee. There are currently 16 Government-approved projects that have qualified for the Grenada Citizenship by Investment program. This list is likely to change as more projects are approved and new opportunities become available.
Applicants opting for the approved project (real estate) route must invest at least US$350,000. They must keep the real estate for at least three years following the grant of citizenship. To get there, investors must also pay additional fees to the government that amount to US$58K per application (includes two family dependents) plus another US$25K for each additional dependent beyond two. After three years it can be sold to recover their investment at current market rates, and they still retain Grenada citizenship.
Yep, lots of fees payable to agents that are either spouses or close family members of persons with Parliamentary positions. ...hmmm
And the latest news... (https://grenadacbi.com/)
Grenada has now signed a visa waiver agreement with the EU, allowing visa-free travel to all Schengen member countries.
Grenada is one of only 3 countries in the world with 30 days visa free access to China.
Grenada is the only CBI country with an E2 visa Treaty with the United States. This is a Treaty of Trade and Commerce with the United States. Getting into the US has always been a challenge, but this has now been made a whole lot easier by Grenada's Citizenship By Investment programme (CBI) and the E2 Investor Visa. Visa holders and their spouses can live and work anywhere in the US, while children under the age of 21 can attend public or private schools.
Welcome to Grenada.
...and no, we're not going to indulge....
Update / addition on February 13, a positive spin for those who don't care about the government corruption... https://www.worldfinance.com/featured/grenadas-citizenship-programme-proves-an-attractive-option-for-foreign-investors