First, let's set the scene: Common legal grounds enabling someone to acquire a second passport include marriage to a foreign citizen or birth in a foreign nation. In some countries like Ireland and Greece blood ancestry is a basis. Then there's formal naturalization, meaning you apply and qualify for citizenship status.
One of my favorite scam stories is of the German lady living in Paraguay. Claudia Bettina Muller was arrested last year for printing fake passports in her basement. Police found printing and engraving machines, along with boxes of blank passports and counterfeit government forms. But before I had ever heard of Claudia Bettina Muller or the Paraguayan police caught up with her, I had heard of this scam. I had come across a speaker at an event in Nevada who claimed he could get anyone in the attentive audience a Paraguayan passport in as little as a month. This was possible he maintained, because he had high-level government contacts. The cost was only $45,000. (That's half of what any of the second citizenship programs I work with charge.) Right then, as he spoke, I knew it was a scam.
Is it un-American to go offshore? In the United States, government officials and the U.S. Internal Revenue Service have for years done their best to convince people that obtaining a second passport is somehow crooked, even unpatriotic. The media persists with this steady drumbeat of negativity, even though the U.S. Supreme Court has repeatedly upheld the legal and constitutional right of U.S. citizens to hold dual or even multiple citizenships. Indeed, a second passport—a second citizenship—is one of the most important tools in any sovereign person's personal and financial toolkit.