European Union countries have the right to offer citizenship through Golden Passport programs, provided they maintain rigorous due diligence to safeguard the integrity of these schemes. This conclusion was reached by EU Advocate General Michael Collins in response to the European Commission’s argument that Malta’s program violates EU rules, Schengen.News reports.
The European Commission has criticized Malta’s Citizenship by Investment Program, also known as the Golden Passport Program, claiming it violates Article 30 and Article 4(3) of the EU constitution. Several EU countries offer residency and citizenship to foreign nationals through Golden Visa and Golden Passport programs, which significantly contribute to their economies.
However, the European Commission has repeatedly urged EU countries with such programs to end them, citing concerns about irregular activities such as money laundering and corruption. Malta’s program, “Malta Citizenship by Naturalization for Exceptional Services by Direct Investment” (MEIN), offers two pathways to citizenship: one for a direct investment of €600,000 after 36 months, and another for €750,000 after just 12 months.
In a key opinion, Advocate General Michael Collins defended the continuation of EU Golden Passport programs. He made two significant points that could encourage other countries to pursue similar schemes. First, he argued that the EU constitution does not require genuine links for citizenship, a concept that was introduced by EU politicians but lacks legal binding force. Second, Collins pointed out that Declaration No. 2, attached to the Treaty on European Union, reserves matters of nationality to the discretion of individual member states.
Based on these points, Collins concluded that EU countries have the right to sell their citizenship, provided they ensure strict due diligence procedures. He recommended that the European Court of Justice (ECJ) dismiss the case against Malta.
Despite ongoing legal challenges, Malta continues to uphold its Golden Passport Program, unlike some other countries. For example, Cyprus abolished its Golden Passport Program after Al Jazeera reported on illicit activities associated with it. Bulgaria also decided to end its similar program in 2022.
