Vanuatu has revoked Lalit Modi’s passport amid allegations of financial misconduct, stating potential extradition evasion as a concern. Previously, Nirav Modi’s citizenship application was denied due to an adverse probe. Vanuatu has strengthened its citizenship program, facing scrutiny for its potential misuse by criminals and responding to EU pressures to enhance security measures.
The government of Vanuatu has revoked the passport of Lalit Modi, former IPL chairman, due to ongoing allegations of financial misconduct in India. Prime Minister Jotham Napat stated that despite initial background checks revealing no criminal convictions, they were informed that Interpol had rejected Indian requests for alerts based on insufficient evidence. Napat emphasized that individuals should pursue Vanuatu citizenship for legitimate purposes and not as a means to evade extradition, which was indicated by Modi’s intentions.
Lalit Modi’s recent application to surrender his Indian passport at the High Commission in London claimed he had obtained Vanuatu citizenship. If this citizenship had been legitimate, India would have needed to request extradition to prosecute him domestically. Prior to Modi, Vanuatu also denied citizenship to Nirav Modi, a diamond jeweler involved in a notable banking fraud case.
Vanuatu’s Citizenship by Investment (CBI) program allows individuals to acquire citizenship through a significant investment, typically a non-refundable contribution. The minimum investment required for applicants is approximately $155,000, making it accessible compared to similar programs worldwide. Nirav Modi attempted to secure citizenship shortly before the Punjab National Bank fraud made headlines, transferring a substantial amount for his application. However, due to adverse findings in a probe by Vanuatu’s Financial Intelligence Unit, his application was denied.
To reinforce its CBI program, Vanuatu has enhanced its due diligence processes to prevent misuse. Prime Minister Napat indicated that the government has implemented rigorous checks resulting in increased application rejections due to heightened scrutiny. This decision follows criticisms that citizenship-for-investment schemes can facilitate financial crimes and allow individuals to evade legal consequences.
The European Union has also penalized Vanuatu by revoking its visa-free travel arrangement, citing security risks associated with its investment citizenship scheme. Additionally, the Financial Action Task Force has pointed out the potential for such programs to be exploited by criminals seeking to secure mobility and obscure their identities.
Lalit Modi faces multiple allegations involving forex violations and a disputed TV rights deal associated with the IPL. He has been under investigation since fleeing to the UK shortly after the IPL 2010 final, which led to disciplinary actions against him by the Board of Control for Cricket in India (BCCI). He has consistently maintained his innocence in interviews conducted from abroad.
In conclusion, Vanuatu has taken a definitive stance against granting citizenship to individuals with potential legal issues, exemplified by Lalit Modi’s and Nirav Modi’s rejected applications. The tightening of scrutiny measures reflects the nation’s commitment to ensuring that its citizenship program is not misused for evasion of legal responsibilities. These developments underscore the importance of thorough investigations and the implications of citizenship by investment schemes in light of international financial integrity standards.
Original Source: indianexpress.com
