Given that the St. Kitts and St. Lucia CIUs accepted fees, and duly processed, thousands of CBI citizenship applications recently, issuing passports to their clients, notwithstanding that elected leaders in both countries knew very well that the transactions were at illegally-discounted rates, rendering them voidable, it is only as matter of time until legal counsel for the unhappy customers will be filing suit for rescission, fraud and a host of other claims, including but not limited to disgorgement of all funds paid in connection with the sales. Refund demands, as well as actions for damages are inevitable. What will the corrupt leaders of those East Caribbean States do, as most of the money has been diverted to China, and the CBUs not only do not have access, they do not even know where those billions of dollars are. The amount of probable litigation which will ensue could place a black mark on the region, destroying any chances for foreign direct investment in this decade, if not the next one.
We can only speculate regarding what economic, political and even social, consequences will thereafter befall not only the now-insolvent governments, but the native-born citizens of those two states. Will those individuals have to suffer the loss of all correspondent banking relationships with the United States financial structure, making imports, international travel, study abroad, the ability to obtain credit cards & secure loans extremely difficult and pricey, if not downright impossible. Given that 90% of these countries' consumer items must be imported, will the local economies self-destruct?
Will we see a major depression develop in the region, due to the CBI scandal? We cannot say, but, when cut off from the ability to satisfy the needs of the countries' consumers, economic disaster, and increase in crime, and public discontent on a level never before seen in the region, may arrive swiftly, and stay for a long time. as wealthy victims seek redress, in or out of court. You may want to defer any thoughts of Caribbean holidays this Winter, as not only will risk levels increase, but your personal safety may be at risk. Stay home.