The St Lucia Citizenship by Investment Program (CIP) Board has come under scrutiny following the retroactive approval of two enterprise projects. A government gazette dated September 12, 2024, sanctioned the "Caribbean Galaxy Real Estate Limited - National Infrastructure Improvement Program" and "Bemax LLC - Rock Hall Housing Development Project" with a January 12, 2024 commencement date, effectively backdating their approval by eight months.
The CIP Board issued a statement to clarify the situation, maintaining that while the projects received approval and applications, no monies have been disbursed to developers. They emphasized that the law mandates gazette publication to inform the public of approved projects and that the legal capacity for such approvals was provided in the amended Citizenship by Investment Regulations from December 20, 2023.
The Board also revealed that three projects presented as approved between 2016-2021, including the Range Development, DSH Project, and Galaxy Project, were never officially gazetted. The Board assured the public of their commitment to adhere to legal and statutory requirements and close any preexisting gaps.
This disclosure comes amidst broader concerns surrounding Caribbean CIP practices, with MSR Media filing a RICO suit in US federal court against several Caribbean CBI stakeholders, including Caribbean Galaxy, McClaude Emmanuel (CEO of the St Lucia CIU), and Ernest Hilaire (St Lucia's Deputy Prime Minister). The lawsuit alleges kickbacks, fraud, and money laundering related to St Lucia's CIP.
Opposition Leader Allen Chastanet has lambasted the backdated approvals as a "worrying sham," questioning the government's transparency and adherence to the law. He cast doubt on the infrastructure program's legitimacy and the allocation of files to Galaxy, claiming evidence of local agents processing applications specifically for the infrastructure program.