Politically Exposed Persons (PEPs) are individuals who hold or have held high-ranking government or public positions, either nationally or internationally. When applying for second citizenship through investment programs, PEPs undergo a more rigorous Due Diligence process than regular applicants, making their approval more challenging, even if they have a clean reputation and no criminal history.
At Roots Citizenship, we specialize in helping PEPs navigate this complex process to secure a second passport. In this guide, we’ll explain who qualifies as a PEP and how they can pass Due Diligence checks for second citizenship.
Who is Considered a Politically Exposed Person?
There is no universal definition of PEPs, but the Financial Action Task Force (FATF) offers a widely accepted explanation. FATF defines PEPs as individuals who are considered higher risks for activities like money laundering and terrorism financing. They typically fall into one of four categories:
Foreign and National PEPs: Includes heads of state, ministers, parliament members, senior military officials, leaders of political parties, and senior executives in state-owned enterprises.
PEPs in International Organizations: Senior executives and decision-makers in organizations like the UN or the EU fall under this category.
Family Members: Spouses, children, parents, and siblings of a PEP are also considered PEPs.
Associates and Business Partners: Close personal or professional connections, such as business co-owners or corporate shareholders, are also included.
PEPs Restricted from Acquiring Second Citizenship
Certain PEPs may be restricted from obtaining second citizenship, especially those in sensitive positions like military officers, government employees with access to state secrets, or law enforcement personnel. These individuals may need to provide a certificate of non-citizenship for specific roles.
How Can PEPs Pass Due Diligence for Second Citizenship?
PEPs who have retired from public service can apply for second citizenship but must undergo a stringent Due Diligence process. They must prove their clean legal record and show that their investment funds are separate from their public service income. For example, the funds should come from personal business activities that occurred after they left government positions. Applicants are required to submit detailed financial documentation such as bank statements and tax returns.
Where Can PEPs Obtain Citizenship by Investment?
Several countries offer citizenship through investment for former PEPs:
Malta: Allows individuals to apply for citizenship by investment after passing an Eligibility Test. The total investment starts at €690,000, including donations and real estate costs.
Caribbean Nations: Countries like Grenada, St. Kitts and Nevis, Dominica, and St. Lucia offer investment options starting at $100,000, involving donations or real estate purchases.
Vanuatu: Offers a program with a minimum contribution of $130,000.
“Second citizenship offers a new horizon, but for politically exposed persons, the journey requires greater transparency and integrity.”
At Roots Citizenship, we are an authorized representative for various citizenship and residency programs, including those in the Caribbean and Europe. Contact us to learn how we can assist you in securing a second passport, even as a PEP.
