The government said a small number of people who received so-called “golden visas” for multi-million dollar investors may have acquired their wealth through corruption or organized crime.
Visas that grant residency status to those who invest at least £2 million were canceled days before the invasion of Ukraine amid British government concerns about an influx of illicit Russian funds.
An assessment of the system by the Department of the Interior found that a small minority of those who were granted visas “were at high risk of acquiring wealth through corruption or other illicit financial activities and/or involvement in serious and organized crime.” They included 10 oligarchs who subsequently fell under the sanctions of the British government.
Investors who have pledged £2m of assets in the UK can apply for permanent residence after five years. Those who invest £10 million can apply after two years. The system has been described by critics as “a red carpet rolled out for dirty money”.
The assessment looked at over 6,000 Tier 1 investment migrants (£2m) and adult dependents who were granted residency between 2008 and 2015.
The evaluation found that the program “attracted a disproportionate number of applicants from countries identified in the UK National Money Laundering and Terrorist Financing Risk Assessment”.
It “found evidence that high-risk applicants seek out and use financial institutions with the weakest due diligence controls,” she said. In total, more than 12,000 golden visas have been issued, including more than 2,500 for Russians.
As a result of the review, Home Secretary Swella Braverman said the government would never again have a visa regime “based solely on the applicant’s assets.”
In a statement to Parliament, Ms Braverman insisted her department was “strongly refusing leave where appropriate” but said there were “internal problems” in the system “both in terms of security and economic value.” , adding: “I am convinced that this government will ensure that such mistakes are not repeated.”
Labor called the response “grossly inadequate”, while the Liberal Democrats called it a “farce” and called for the review to be published in full.
Labor Home Secretary Yvette Cooper said ministers “finally acknowledged and acknowledged that 10 of those sanctioned after the Russian invasion of Ukraine came to the UK on golden visas” but not on “fundamental issues”, responded to questions raised about the plan, adding: “It’s a disgrace for the Home Secretary to evade scrutiny in this way.”
She said a “much more detailed report” should be released that would provide answers to “national security questions” raised by the findings.
The Liberal Democrat’s foreign policy spokeswoman, Layla Moran, said the statement “smells like a cover-up” and added: “We need to know the extent to which the government is allowing pro-Kremlin oligarchs to view this country as their playground. If the Conservatives have nothing to hide, nothing to fear, the review should immediately be published in full.”
The Spotlight on Corruption campaign group welcomed the study but said the full review should be made public. The Home Secretary’s statement did not address a number of key issues, including the potential security risks to the UK associated with the issuance of 5,435 golden visas between April 2015 and lockdown in 2022. The government closed the golden visa program last February based on initial audit results.
Source: I News
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