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Cyprus Court Allows Rejected CIP Investors to Challenge Citizenship Denials · IMI Podcasts

• 0:00
  SPEAKER_00: The Cyprus CIP abruptly ended in October 2020, and the government closed the door to applications on the first of November, leaving many investors who invested millions of euros in limbo rushing to meet numerous criteria within a limited time.
• 0:15
  SPEAKER_00: Many of those who managed to submit their applications before the deadline saw their applications rejected without receiving any justification or reasoning for the decision.
• 0:26
  SPEAKER_00: Only an estimated 28% of all pending applications were approved by the government, prompting many to question the outcome and file administrative recourse actions for case review.
• 0:39
  SPEAKER_00: Yesterday, the plenary of the Administrative Court of Cyprus issued a groundbreaking decision allowing aggrieved investors whose citizenship applications were rejected under the Cyprus Citizenship by Investment Program to seek judicial review.
• 0:55
  SPEAKER_00: The court dismissed the government's pretrial objection regarding the naturalizations of foreign entrepreneurs and investors since the government failed to provide specific case law supporting its classification of these acts as governmental.
• 1:11
  SPEAKER_00: The court also rejected the argument that the Council of Ministers involvement automatically rendered the acts governmental, citing risks of abuse and arbitrariness.
• 1:22
  SPEAKER_00: It concluded that these acts are enforceable administrative acts, legally contestable under Article 146 of the Constitution.
• 1:32
  SPEAKER_00: All pending administrative recourse cases will now proceed to trial.
• 1:36
  SPEAKER_00: The court emphasized that Cyprus bore the burden of proof, but could not substantiate its claim with relevant jurisprudence and dismissed the notion that the Christadulaides administration involvement automatically made the acts governmental, as this could lead to misuse and arbitrary decisions.
• 1:55
  SPEAKER_00: The court highlighted the importance of judicial oversight in administrative actions, particularly those involving detailed naturalization criteria and procedures.
• 2:06
  SPEAKER_00: The ruling allows CIP investors to seek review of the rejection of their applications, providing a legal avenue to challenge the government's decision.
• 2:16
  SPEAKER_00: The court will now examine each case individually, assessing whether the rejection was justified based on the established criteria and procedures.
• 2:25
  SPEAKER_00: If it finds that a rejection was unjustified, it will annul the government's decision, requiring the authorities to re-examine the application and provide a substantiated reason for either granting or rejecting citizenship.
• 2:39
  SPEAKER_00: This ruling provides a mechanism for investors to ensure that their applications are processed fairly and transparently, and it demonstrates that the Cypriot legal system has safeguards in place to protect the rights of those who participated in the CIP.
• 2:57
  SPEAKER_00: The decision signifies a crucial development in the ongoing legal scrutiny of Cyprus's naturalization practices, ensuring judicial review of administrative acts related to naturalizations by exception.
• 3:11
  SPEAKER_00: Although the CIP is closed, this move reinforces the naturalization process's accountability and transparency, protecting it from potential exploitation.
• 3:23
  SPEAKER_00: This outcome underscores the judiciary's role in maintaining checks and balances on administrative actions and upholding fair and just governance principles.
• 3:33
  SPEAKER_00: It also comforts hundreds of investors who question the outcomes of their cases through the judicial process.
• 3:42
  SPEAKER_00: This episode first appeared as an article by Demetris Demetriadiz on imidaly.com.
• 3:49
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• 3:56
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