The term due diligence is synonymous with investment migration. Whether a person is applying for a second citizenship or residency through investment, they must undergo what is known as the “due diligence process”.
In this piece we want to cover the basics of due diligence, what it is, why it matters, and how it is done.
Due diligence is the process of conducting background checks on citizenship or residency applicants to ensure they are a safe addition to any community.
The main goal of due diligence is to make sure that any given applicant does not have a criminal record. Criminal activity, such as theft, money laundering, and embezzlement, amongst others, is the core objective and the main reason due diligence checks are at the center of any investment migration process.
It is the cornerstone of residency and citizenship by investment. For an investment migration program to survive, it needs to maintain a high level of due diligence.
The integrity of any Residency or Citizenship by Investment Program relies heavily on the level of due diligence the government provides. The more detailed the framework, the greater integrity the program boasts.
However, a far more important factor is the safety of the applicants and the population of the destination country. Bringing in new people into the community is a major responsibility, and the government must ensure that the people it introduces into its population are safe and responsible.
This process eliminates the possibility of adding offenders to the community and ensures the safety and security of the country and the new additions, be it residents or citizens.
The process is the longest part of any residency or citizenship by investment program. It takes months and involves a flurry of parties that all work to ensure they cover all aspects of an applicant’s background.
Learn more about how a second citizenship can boost your child’s education and career here
Through conducting exhaustive searches in various databases, including but not limited to local authorities such as the police or central intelligence, global authorities such as the Interpol, financial entities such as local or global banks, and other foreign entities such as the FBI.
Every country has its own due diligence structure, but overall, most of them will look into the following criteria of any applicants:
This comprehensive background check paints a picture of the applicant, and the immigration officer can then check for any red flags. Some programs even require their government-approved agents to conduct their own due diligence as the first line of defence, this can be done through coordinating with specialised due diligence firms or through the use of specialised tech and software.
Once the agent sends their finding to the relevant government, it becomes the government’s job to conduct a more comprehensive, detailed background check to ensure that the individual is a safe addition to the community.
Learn All You Need To Know About Due Diligence In This Video:
It is worth noting that while due diligence also shows current claims and legal action being taken against applicants, it does have a massive differentiation between civil and criminal lawsuits.
Any criminal lawsuit will most probably result in a rejection of an application, or a postponement of the decision until the court has a verdict. If an applicant has been charged with a criminal lawsuit in the past but was found innocent, that would not affect their application.
Learn about the UAE Golden Visa & the benefits you need to know in this link
Civil cases are another thing entirely, as they do not point to criminal activity and, most often than not, do not influence the decision of an immigration officer, except in the cases where a civil lawsuit is a corridor to criminal litigation, which is a very rare occurrence.
Citizenship and residency applicants must be able to provide the documentation required for due diligence to be conducted effectively. This set of documents is mostly similar amongst residency and citizenship by investment programs but does slightly differ depending on their framework. To know more about due diligence in investment migration, contact us today for a consultation with one of our experts.
Savory & Partners is an accredited agent for multiple governments where citizenship by investment is offered. Founded in 1797, the agency has evolved from pharmaceuticals to family assets and legacy protection through second citizenship and residency. The company’s professional, multinational staff is made up of expert advisors who have guided thousands of clients, including many North African investors, on their journey to find the most suitable CBI program for them. The Savory & Partners team will be happy to answer your enquiries in English, Arabic, Farsi, French and Spanish.
We are available on every channel convenient for you.
Citizenship by Investment FAQs provide invaluable guidance for investors seeking to expand their opportunities and enhance their global mobility. In…
Residency by investment FAQs serve as a crucial resource for families seeking to safeguard their future. Residency by Investment has…
Immigration policies differ across regions and countries, and most people have to meet stringent requirements and conditions to qualify for…
Greece Residency By Investment New Regulation Greece has announced new minimum investment thresholds for its Golden Visa Program. This…
Starting a business in Dubai places entrepreneurs at the heart of one of the world's most vital economic hubs. It…
An overview of life in Latvia vs. Hungary: living costs, healthcare, education, cities, and language. Latvia and Hungary offer similar…