IIP citizens not included in list given to Electoral Commissioner

The Electoral Commission is once again failing to carry out a proper reconciliation of newly naturalised and registered citizens, after Identity Malta purportedly omitted to include citizens who acquired a Maltese passport under the Individual Investor Programme.

An ongoing analysis of the citizenship roll by the Nationalist Party’s electoral roll has now revealed that the citizenship roll furnished to the Electoral Commission by Identity Malta does not include those citizens who acquired Maltese citizenship for €650,000.

It is a serious omission that is breaching electoral laws, and also preventing the Electoral Commission from having at its disposal a full list of citizens – including those who may be ineligible to vote because they have not lived on the island for a minimum of six months over the last 18 months.

In a stern letter from the Nationalist Party, Electoral Commissioner Joseph Church was informed that the list of citizens he had been given by Identity Malta was inconclusive.

This abusive and illegal action by Identity Malta is undermining the Commission

“It does not include those persons who acquired naturalisation through the IIP,” the PN – currently in court demanding the striking off of 91 ineligible voters who acquired the ‘golden’ passport – told Church.

Malta’s Constitution makes no difference between citizens who acquired naturalisation either through the IIP or by marriage or permanence.

Identity Malta accused of ‘abusive and illegal’ practice

“The Electoral Commission is obliged to make its own verification that all electors are included in the register, even those who acquired naturalisation through the IIP.

 “This abusive and illegal action by Identity Malta is undermining the Electoral Commission in the execution of its duties according to the Constitution and electoral laws, as well as undermining the PN from carrying out its own verification of electors – as it is freely empowered to do by way of the electoral process,” the PN wrote.

Of the hundreds of foreign nationals who acquired Maltese citizenship under the IIP, the Nationalist Party has so far identified 91 who have been erroneously included in the electoral register.

They are ineligible to vote because since acquiring their citizenship, they have not been living in Malta for the minimum required period.

But intermediaries for these new citizens – who are charged with handling their IIP applications with Identity Malta – have also applied for a voting document for their clients.

Identity Malta requires that a copy of the actual contract for purchase or lease of the property is provided Identity Malta CEO Jonathan Cardona

When they erroneously ticked a box indicating their clients were ‘over 16 and resident in Malta’, the Electoral Commission failed to verify the claim.

The law courts rebuked the Commission for its shortcomings after failing to ensure a thorough validation of these claims.

‘Letterbox millionaires’

In an examination of the registered addresses of IIP citizens, MaltaToday has discovered that a percentage have been ‘housed’ inside holiday flats instead of purchasing a property of €350,000 or renting a home for at least €16,000 annually for five years.

The commitment for the lease or purchase of property is stipulated in a legal notice, but the requirement to acquire a property as well as invest €150,000 in government bonds, must be fulfilled within four months from when the Letter of Approval in Principle is issued by Identity Malta. 

“Identity Malta requires that a copy of the actual contract for purchase or lease of the property is provided,” Identity Malta CEO Jonathan Cardona told MaltaToday.

“A copy of the purchase note of the Malta Government Stock is also required. These submissions are done through the applicants’ agents who are responsible for handling the application and ensuring that it is in order.  Without these documents in hand the individual is not allowed to proceed with the application.”

Photos of the residences where people like Chinese billionaire Liu Zhongtian is registered, easily prove the theory that humble properties are being used as letterbox addresses so that Zhongtian’s people in Malta would collect official mail. Zhongtian, worth at least $2.8 billion, became the recipient of a voting document without even having lived for six months in Malta in the last 18 months.

Jonathan Cardona contested MaltaToday’s suggestion that Identity Malta has not been verifying IIP applicants’ property purchases.

ment.  All applicants, through their agents, provide a contract to Identity Malta of the property leased or bought. The application does not proceed unless Identity Malta is provided with a copy of a contract which meets the legal requirements. 

“Documentation is verified again by the regulator, both Dr Godwin Grima and now Mr Carmel Degabriele, who has full and unhindered access to the documents of every application. Furthermore, Identity Malta has recently introduced a new requirement of submitting a declaration by an architect stating that the values presented on the contract are fair according to current market conditions.”

Until 30 April, 2016 the total value of property leased amounted to €12,245,835 whilst total value of property purchased amounted to €25,475,744.

Identity Malta would not confirm the total value of government bonds acquired by IIP applicants.

Only €76 million in national fund

Citizenship sales have so far generated €76 million for a special development fund, The Times reported yesterday – a figure far short of the €1.5 billion that passport scheme operators Henley and Partners have said are already ‘committed’.

The money is being held by the Treasury and Identity Malta in ring-fenced accounts as the ‘national development and social fund’ is still in the process of being set up, two years since the introduction of the controversial IIP.

The account contains more than €54.9 million. Another €20.8 million are being held by Identity Malta for eventual transfer to the fund.

At least 70% of the contributions paid to Identity Malta from the IIP must be paid to the national fund, which is to serve to finance public purposes, and is administered by Chamber of Commerce president David Curmi.

Henley and Partners has reported that 1,112 applications for citizenship were being processed, “a commitment” of more than €1.5 billion.