Your U.S. Passport: A Terrorist Beacon

There’s no longer any doubt that if you use a U.S. passport to travel internationally, you may well become a terrorist target.

The attacks last week in Mumbai, India’s commercial capital, proved that conclusively.  The gunmen who carried out the attacks took dozens of hostages, and specifically singled out anyone with a U.S. or British passport.  At least two Americans died in the attacks.

At Mumbai’s landmark Taj Hotel, two heavily armed men took 15 people hostage, forcing them to the hotel roof.  A British businessman who escaped said the gunmen “were saying they wanted anyone with British or American passports.” 

The scenario at the nearby Oberoi Hotel was almost identical.  A British citizen dining at a restaurant in the hotel reported that armed men forced dozens of people into a stairwell.  “They were talking about British and Americans specifically,” he recounted.  Other nationalities were left alone.  When the gunmen asked one of the victims “Where are you from,” he replied “Italy.”  According to the eyewitness, the kidnappers said, “fine,” and left him alone.

The fact that your passport may be a terrorist beacon is just one more reason you may wish to consider acquiring a second passport.  Under U.S. law, it’s perfectly legal to do so, and in a terrorist situation, having a second passport may literally save your life. 

There are many other benefits as well.  A second passport can also expand your travel options, give you the right to reside in other countries, and allow you to cross international borders if your primary passport is lost or stolen. For Americans, a second passport has another benefit.  It is an essential prerequisite to expatriation; i.e., giving up U.S. citizenship in order to permanently disconnect from U.S. taxing authority.

If you don’t qualify for a second passport by virtue of your ancestry, religious affiliation, or marital status, a handful of countries offer "instant" citizenship in return for an economic contribution:

• Commonwealth of Dominica.  Under this country's economic citizenship program, you may acquire citizenship and passport in return for a cash contribution of US$75,000. A US$100,000 contribution entitles you, your spouse, and two minor children to citizenship. Legal, due diligence, and processing fees add approximately US$30,000 to the cost. Dominican passport holders can travel without a visa, or obtain a visa upon entry, to nearly 90 countries and territories.
• Federation of St. Kitts & Nevis. You can obtain economic citizenship in this country if you purchase qualifying real estate or make a contribution foundation.  For numerous reasons, the latter option is more practical for most applicants.  The cost for a single applicant under this option is US$200,000, or US$250,000 for an applicant with up to three dependants. Legal, due diligence, and processing fees add a minimum of US$10,000 to the cost. St. Kitts & Nevis passport holders can travel without a visa, or obtain a visa upon entry, to nearly 110 countries.
• Austria. It may be possible to obtain "instant" Austrian citizenship and passport after making a substantial investment in Austria. Only a handful of persons gain citizenship in this manner every year. The Austrian program is fundamentally different from that of Dominica and St. & Nevis, in that you must make your investment first and then apply for citizenship. You don't get your money back if citizenship isn't granted. Generally, you must invest at least US$4 million to have a reasonable chance at qualifying, and pay additional legal fees of US$30,000 or more.

In all three of these economic citizenship programs, applicants must pass a strict vetting process that includes a comprehensive criminal background check.

In recent years, passports from Costa Rica, Nicaragua, the Dominican Republic, Ireland, Lithuania, and other countries have been sold over the Internet. All these offers are either scams or involve illegally purchased or stolen documents. Securing a passport on this basis, through fraudulent misrepresentation, either directly or through an agent, is clearly illegal. Your passport could be revoked at any time and you could be subject to arrest, imprisonment, and deportation.

The Nestmann Group, Ltd. can assist individuals seeking legitimate alternative citizenship and tax-advantaged residence options. Please contact us at info@nestmann.com for more information.

Copyright © 2008 by Mark Nestmann