In a landmark ruling, the EU's Court of Justice declared Malta's "golden passport" initiative unlawful, stating it contravenes European law. This scheme enables wealthy foreigners to obtain Maltese citizenship through significant financial contributions, including a minimum payment of €600,000, real estate investment, and a charity donation of €10,000. The court underscored that citizenship acquisition should not be treated as a purely commercial transaction.
The legal challenge was brought forth by the EU Commission in 2022, leading to this decisive verdict. Former Prime Minister Joseph Muscat has controversially labeled the ruling as politically motivated while asserting that the program could survive with modifications. Malta now faces the possibility of hefty fines if it does not adhere to the court's decision, which emphasizes the significance of citizenship beyond financial exchange.
Despite Malta's claims of compliance with EU treaties, the ruling contradicts an earlier opinion from the court's Advocate General, who argued that individual nations should have the autonomy to determine their citizenship criteria without needing to establish a "genuine link" to the country.
The EU has expressed concerns about investor citizenship programs, which have been associated with various risks, including security threats, money laundering, and corruption. The latest judgment aims to uphold integrity among member states amidst increasing calls to eliminate such schemes.
