Vanuatu is emerging as a potential refuge for individuals like Lalit Modi facing legal issues. The country’s Citizenship by Investment program offers quick citizenship for financial contributions but raises security concerns due to reported misuse by criminal syndicates. The program significantly contributes to Vanuatu’s economy, generating substantial national revenue despite criticisms regarding inadequate regulatory oversight.

Vanuatu has recently gained attention as a potential refuge for individuals facing legal complications, notably former IPL chairman Lalit Modi, who has reportedly acquired Vanuatu citizenship. The Indian Ministry of External Affairs has acknowledged Modi’s request to renounce his Indian passport and is actively pursuing legal action against him as he faces serious charges of financial misconduct, including bid-rigging and money laundering.

Vanuatu’s Citizenship by Investment program, often referred to as the ‘golden passport’ scheme, enables individuals to obtain citizenship through a financial contribution of USD 150,000, offering one of the quickest citizenship routes globally. This process is expedited, allowing applicants to acquire citizenship within one month without a requirement to visit Vanuatu.

Offering visa-free access to 113 countries, Vanuatu’s passport ranks 51st in the Henley Passport Index, surpassing several major economies. However, the country lost its visa-free access to the EU in 2023 due to security concerns, which underscores the tenuous nature of its appeal as a safe haven for individuals like Modi.

With a small population of approximately 300,000, Vanuatu’s economy heavily relies on revenue from its citizenship sales, which contribute nearly 40% to the national income. Despite being one of the poorest nations globally, the CBI program fostered substantial revenue, particularly during the Covid-19 pandemic, when it even achieved a budget surplus in 2021.

The appealing factors of Vanuatu citizenship attract numerous Indians and NRIs, particularly as a means of circumventing possible legal issues at home. The attraction of acquiring citizenship for entire families and the prospect of eventually obtaining citizenship from more influential countries further enhances its allure, despite the concerns raised by the integrity of the program.

Criticism of Vanuatu’s golden passport scheme has intensified due to suggestions of misuse by criminal elements and inadequate background checks. These vulnerabilities have drawn scrutiny from international authorities, resulting in the cancellation of its visa-free access to the EU. While the potential for quick citizenship is appealing, serious concerns regarding security and regulatory oversight persist.

In summary, Vanuatu’s Citizenship by Investment program has become an attractive option for individuals facing legal difficulties, such as Lalit Modi, while simultaneously providing significant revenue for the economically challenged nation. However, the program’s integrity is jeopardized by security concerns and potential misuse, which warrant cautious examination. As Vanuatu navigates this complex landscape, it remains to be seen how it will address these critical challenges while fulfilling its economic needs.

Original Source: english.mathrubhumi.com

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