Henley & Partners said Tuesday it is disappointed by the characterization of Malta's citizenship programme as an infringement of EU law or a "commercialization" of citizenship, as laid out in today's "highly politicalised judgment" by the European Court of Justice (ECJ).

Dr Juerg Steffen, CEO of Henley & Partners, says "at the heart of this case lies the principle of sovereignty and national competence in citizenship matters. Member States have the exclusive right to determine the criteria for the acquisition of their citizenship, which is clearly laid out in the EU treaties. This principle was first acknowledged but ultimately sidestepped by the ECJ in favor of a ruling that enables EU encroachment on national competence."

This ruling sets a worrying precedent for the "undemocratic extension of EU competences beyond its treaty-based limits", the company said. It would be interesting to see what the outcome would have been if the case was against France or Germany. Ironically, such judicial overreach undermines the very EU values the Court claims to uphold, notably the rule of law and respect for democratic values

The portrayal of citizenship by investment as commercialization is fundamentally flawed, the company said. Investment migration is a legitimate, internationally recognized policy instrument used by sovereign states to responsibly attract global capital.

Malta's program is "underpinned by the strictest due diligence, multi-tiered vetting, and stringent eligibility criteria", Henley and Partners said.

Henley & Partners said it remains steadfast in its commitment to supporting investment migration programmes that are governed by rigorous compliance, transparent processes, and social responsibility. Working on a global scale, we also see that these programs will continue to expand worldwide. Investment migration programs, when well-structured and properly run, serve as a bridge between global capital and talent, and national development goals.

This judgment should not close the door to a more rational, fact-based conversation about the role of investment migration within the European project, the company said. Respecting national competences and fostering economic resilience - especially in smaller Member States - should be seen as part of a unified but diverse Europe. It remains to be seen how citizenship acquisition could be structured in the future so it is in compliance with the ECJ's ruling, the statement said.