$13 Million in Payments to Khan: MSR Files BofA Transaction Records

In response to Caribbean Galaxy’s widely publicized defamation lawsuit, MSR Media has escalated its legal battle over Caribbean Citizenship by Investment (CBI) programs.

MSR Media alleges it has uncovered a series of suspicious financial transactions involving Les Khan, former head of St. Kitts & Nevis’ Citizenship by Investment Unit (CIU).

In a press release dated August 30, 2024, MSR Media said it had filed bank records in a St. Kitts and Nevis court revealing payments totaling $13,403,989.16 to Khan’s U.S. company, LKCS, LLC.

MSR claims most of these payments concern the “controversial jail project” in St. Kitts and Nevis.

MSR’s press release states several transactions it deems suspicious:

• Caribbean Galaxy allegedly paid Khan $320,752.92 while he was still head of the St. Kitts & Nevis CIU.
• Les Khan purportedly received $770,000 from HONGKONG BAI SHENG AN LIMITED after leaving the CIU. MSR Media claims LI MUSHENG, Vice President of Caribbean Galaxy, owns this company.
• SKIPA INVESTMENT MACAU LIMITED allegedly transferred $1,359,200 to Khan after he departed the CIU.
• The Accountant General CIU supposedly paid $10,518,188 to Khan’s company as compensation for his role as CIU CEO

It’s important to note that such compensation, if accurate, could potentially reflect legitimate remuneration for excellent CIU performance. Under Khan’s leadership, the St. Kitts & Nevis CIU may have generated significant revenue for the country, possibly justifying performance-based bonuses. Without full context, it’s challenging to determine whether these payments were inappropriate or simply reflective of the program’s success.

MSR Media, however, questions the nature of these payments, particularly those made after Khan left his position at the CIU. The company also raises concerns about Khan’s compensation structure, which it claims was “based largely on a bonus structure on successful applications.”

The press release states that Khan’s substantial earnings shed light on Caribbean Galaxy’s acquisition of 5,500 shares for the jail project, describing the allocation as “unprecedented.”

The company says it will provide further explanations regarding these transactions during the ongoing court case in St. Kitts and Nevis.

MSR’s press release comes after Caribbean Galaxy filed a defamation lawsuit against Philippe Martinez, CEO of MSR Media. The company vehemently denies any wrongdoing, asserting it has “always been committed to upholding the highest standards of integrity in the CBI process.”

Caribbean Galaxy claims its economic development programs have “created hundreds of jobs in multiple Caribbean countries, hundreds of millions of dollars in government revenue, and will deliver critically needed infrastructure projects.” The company emphasizes its commitment to “work in partnership with national governments to provide substantial resources for the benefit of Caribbean communities.”

MSR Media also claims it plans to file similar bank transaction records related to former Prime Minister Dr. Timothy Harris and other officials in response to a separate defamation case filed by Harris against the company.

These allegations and counter-allegations are part of an ongoing legal dispute between MSR Media and various Caribbean CBI stakeholders. Caribbean Galaxy has stated it “will hold those spreading false and malicious information about our business fully accountable under the law.”

The claims made by MSR Media and Galaxy have yet to be independently verified or ruled upon by a court.

IMI has reached out to Les Khan for comments, but we have yet to be able to get in contact. We will update this piece with any new information.