MDP MP submits resolution seeking suspension of investment visa programme

A resolution has been submitted to the People's Majlis calling for the immediate suspension of the government's Pearl Residence Visa Programme and the disclosure of all agreements related to its implementation.

The resolution was submitted on Wednesday by Hulhumalé South MP Dr Ahmed Shamheed of the opposition Maldivian Democratic Party (MDP).

It seeks Parliament's position on requiring the government to halt the programme and submit all agreements relating to the initiative to the legislature.

The government launched the Residence by Investment initiative after signing a service agreement with Henley & Partners during the Maldives-Singapore Business Forum held in Singapore in July last year. In March, Minister of Economic Development Mohamed Saeed said legal work was under way with the Attorney General's Office to introduce the programme.

In the resolution, Shamheed argued that the Pearl Residence Visa Programme is being implemented through an administrative decision rather than legislation approved by Parliament.

He also stated that the agreement with Henley & Partners had been awarded without disclosing its financial or legal terms to Parliament.

According to the resolution, the Constitution requires taxes and other state revenue measures to be approved by Parliament, while policies involving residency rights for foreign nationals have implications for immigration, national security, taxation, land ownership and public finances.

The resolution argues that such a programme should therefore be implemented with parliamentary oversight and full transparency.

It further states that the government established the programme without enabling legislation and has not disclosed the contractual terms agreed with Henley & Partners.

The resolution also notes that amendments to the Immigration Act introduced in 2020 already allow foreign nationals to obtain a Corporate Residence Visa by maintaining a fixed deposit of US$250,000 in a Maldivian bank for five years.

It argues that the Pearl Residence Visa Programme similarly provides residency through the purchase of property valued at US$250,000 from a foreign developer.

Referring to villas being marketed under the programme, the resolution warns that such developments could create areas operating with separate administrative and legal arrangements, raising concerns about the exercise of state authority.

The resolution also raises concerns about Henley & Partners, noting that the company managed Malta's Citizenship by Investment programme, which was ruled unlawful by the Court of Justice of the European Union last year. It also refers to reports that the company was identified in a 2014 notice issued by the United States Financial Crimes Enforcement Network (FinCEN) in relation to financial transactions.

Shamheed further stated that the government has not disclosed the criteria used to select Henley & Partners to administer the programme.

The resolution calls on the government to suspend the acceptance and processing of applications and to stop issuing residence permits under the programme until Parliament enacts legislation governing residency by investment.

It also proposes requiring the government to submit all agreements with Henley & Partners and its affiliates, including details of fees, commissions and exclusivity clauses, to Parliament within 14 days without redactions.

In addition, the resolution proposes summoning the Minister of Economic Development, the Attorney General, the Controller General of Immigration and the Governor of the Maldives Monetary Authority before the relevant parliamentary committee to answer questions on the programme.