Nearly six years after Al Jazeera’s undercover video rocked Cyprus’ citizenship-by-investment programme, the first criminal trial linked to the so-called ‘golden passports’ began before the Nicosia Assize Court on 20 October. Ten defendants — eight individuals and two corporate entities — face charges ranging from bribery and abuse of office to money-laundering. Among them is former Transport Minister Marios Demetriades, the highest-ranking official yet to be prosecuted. Prosecutors allege that the accused facilitated fast-track naturalisation for affluent applicants from Cambodia and China in exchange for kickbacks between 2014 and 2020. Investigators have submitted hundreds of pages of internal correspondence, property contracts and bank-transfer records. Defence lawyers signalled they will contest the admissibility of several documents, arguing they were obtained without proper warrants. The trial is a pivotal test of Cyprus’ efforts to clean up its investment-migration legacy after axing the passport scheme in November 2020 under EU pressure. Brussels closed its infringement case in March 2026 but continues to monitor residence-by-investment programmes. A conviction would strengthen Nicosia’s claim that it has turned a page; an acquittal could revive criticism that the island remains a soft target for illicit capital. Private-client advisers say the case is also sending jitters through the real-estate market. Several defendants were involved in large development projects whose unit sales to foreign buyers are now under scrutiny. Banks have begun enhanced due-diligence reviews of mortgage portfolios linked to disputed passport files. Multinational HR teams relocating staff under the Category F permanent-residence route (the post-passport ‘golden visa’) should anticipate additional compliance checks from the Civil Registry & Migration Department. Lawyers expect longer processing times while officials await guidance from the court proceedings, which are scheduled to resume on 3 November with witness testimony.
Source: Dialogos via Oulla.cy
