British Virgin Islands should have constitution suspended, says corruption report - raising prospect of rule from UK

The island's governor John Rankin ordered the report to investigate "the corruption, abuse of office, and other serious dishonesty" in the British overseas territory's governance.

aerial view of Sandy Cay in the foreground and Jost Van Dyke in the background, British Virgin Islands
Image: The British Virgin Islands report was ordered in 2021
Why you can trust Sky News

The British Virgin Islands should have its constitution suspended, elected government dissolved and effectively be returned to direct rule from London, an inquiry has found.

The BVI's governor John Rankin ordered the report to investigate "the corruption, abuse of office, and other serious dishonesty" in the British overseas territory's governance.

Launched in 2021, it was led by British judge Gary Hickinbottom.

"He has concluded with a particularly heavy heart that unless the most drastic and urgent steps are taken, the current situation with elected officials deliberately ignoring the tenets of good governance will go on indefinitely," said Mr Rankin, who is the Queen's representative on the BVI.

"He notes that the people of the BVI deserve better, and that the UK government owes them an obligation to protect them from such abuses and assist them to achieve their aspirations for self government as a modern democratic state."

The report recommended any new administrative arrangement should last two years, but also that ministerial
government should resume "as soon as practicable".

If London accepts the inquiry's central recommendation, one of more than 40 in the 946-page report, Mr Rankin - a career British diplomat - would take over the day-to-day running of the BVI.

More from World

And in a statement he said: "I pledge that the best interests of the people of BVI will continue to be my overriding concern, ensuring transparent, honest and open governance in accordance with the rule of law to strengthen the foundations of the British Virgin Islands.

"I believe that the COI Report is a vital and hugely valuable contribution towards the achievement of better governance in the BVI in the interest of the people of the territory."

Premier Andrew Fahie. Pic: Government of the Virgin Islands
Image: Premier Andrew Fahie. Pic: Government of the Virgin Islands

The report is not linked to Thursday's arrest of the island's elected leader Premier Andrew Fahie on charges of money laundering and conspiring to import cocaine.

Fahie was detained in Miami, Florida, as part of an operation led by the US Drug Enforcement Administration (DEA).

According to the Miami Herald, he was arrested by DEA agents who were posing as cocaine traffickers from the Mexican Sinaloa cartel.

Foreign Secretary Liz Truss said in a statement: "The arrest yesterday of the premier of the British Virgin Islands on charges related to drugs trafficking and money laundering is extremely concerning and underlines the need for urgent action.

"In January 2021, we set out significant concerns about the deteriorating state of governance in the British Virgin Islands, as well as the potential vulnerability of the islands to serious organised crime.

"The UK government supported the then governor's decision to launch an independent inquiry into governance of the Territory.

"The inquiry report published today by the governor shows clearly that substantial legislative and constitutional change is required to restore the standards of governance that the people of the British Virgin Islands are entitled to.

"I have instructed the minister for overseas territories to travel to the territory immediately to speak to the governor and key stakeholders. We will then announce a clear path forward."