The sports category has moved to a new website.

Cyprus throws Kenyan billionaire, Humphrey Kariuki, under the bus as EU calls for an end of 'golden passports' and presses for stricter controls

Businessmen Humphrey Kariuki
  • The Kenyan billionaire and his wife Stella Nasike are among 26 investors identified by Cypriot authorities who may lose their Cypriot passports.
  • The crackdown could be effected as soon as the end of this month, according to various news agencies from Cyprus.
  • Mr Kariuki is currently facing charges of evasion of tax amounting to Sh41 billion ($410 million).

Kenyan billionaire, Humphrey Kariuki, may soon have nowhere to run to after Cyprus with pressure from European Union decided to reconsider his Cypriot passport.

Mr. Kariuki, who holds dual citizenship from Cyprus, is the owner of Africa Spirits and Wines of the World. Together with a number of directors from African Spirits Limited he is currently facing charges of tax evasion amounting to Sh41 billion ($410 million).

The Kenyan billionaire and his wife Stella Nasike are among 26 investors identified by Cypriot authorities who may lose their Cypriot passports due to strict citizenship rules introduced by the European tax haven as part of a review of the 2013 policy that granted a passport to anybody who invested at least $2.2 million in the local economy, the Politis newspaper reported.

ADVERTISEMENT

According to various news agencies from Cyprus, the crackdown could be effected as soon as the end of this month, leaving Mr Kariuki who has since 2016 had dual citizenship to only have a Kenyan passport.

Chinese national Zhang Shumin, reportedly linked to a gold scam, his wife and three children are on the same list as well as Kenyan Humphrey Kariuki Ndegwa, believed to be involved in a financial scam and his wife,” the Cyprus Mail reported on Wednesday.

Another prominent businessman who was stripped of his Cypriot citizenship is Olag Deripaska, a Russian billionaire with ties to the Kremlin. Mr Deripaska was once Russia’s richest man, making his fortune by consolidating Siberia’s vast aluminum resources under his control in the 1990s.

The loss of passports is as a result of a Cyprus Cabinet meeting three weeks ago that decided to introduce stricter controls.

ADVERTISEMENT

“If there were nine investment cases, concerning 26 people among 4,000 applications, it is logical that some would be problematic when controls weren’t strict,” Cyprus Interior Minister Constantinos Petrides was quoted by the Cyprus Mail on November 4.

“There were mistakes, it was a mistake not to have criteria, for instance, for high-risk persons,” he said.

Mr.Kariuki hit headlines early this year after the Director of Criminal Investigations, George Kinoti, led detectives in a major raid at his factories located in Thika where over a million bottles of assorted alcoholic drinks and 24,000 counterfeit excise stamps were seized.

But when a warrant of arrest against him was issued, Kariuki was nowhere to be seen forcing Kinoti to seek Interpol’s help in arresting the billionaire businessman who was out of the country at the time.

ADVERTISEMENT

A Cypriot passport does enables one to do business throughout the European Union, since Cyrus is a member. Its investor citizenship has, however, of late been criticised by other EU members and Transparency International, who fear it could become a “gateway to Europe for corrupt people and money laundering”, according to TI’s report released in August.

As a result, Cyprus has been under pressure from the EU to tighten entry of foreigners into the scheme.

ADVERTISEMENT

Eyewitness? Submit your stories now via social or:

Email: news@pulselive.co.ke

Recommended articles

African countries with the highest divorce rate

African countries with the highest divorce rate

10 African cities with the highest crime index at the start of 2024

10 African cities with the highest crime index at the start of 2024

Machoka at 70: Emotions run high during Citizen TV presenter's birthday [Video]

Machoka at 70: Emotions run high during Citizen TV presenter's birthday [Video]

Diwali 2022: Is Monday a public holiday in Kenya?

Diwali 2022: Is Monday a public holiday in Kenya?

Akothee finally reveals reasons for separating from Omosh 1 month after wedding

Akothee finally reveals reasons for separating from Omosh 1 month after wedding

Man, once a ‘billionaire’, recounts how he lost wealth, now sells his book on streets [Video]

Man, once a ‘billionaire’, recounts how he lost wealth, now sells his book on streets [Video]

Details of Ngina Kenyatta's luxurious restaurant

Details of Ngina Kenyatta's luxurious restaurant

Zero Chills! Jackie Matubia's advice for Milly Chebby amid the unfollow drama

Zero Chills! Jackie Matubia's advice for Milly Chebby amid the unfollow drama

Nigerian royal dignitaries, including four kings and a queen, expected to attend Museveni’s 50th wedding anniversary celebrations

Nigerian royal dignitaries, including four kings and a queen, expected to attend Museveni’s 50th wedding anniversary celebrations

ADVERTISEMENT