The Foreign Office was urged by MPs to launch an urgent inquiry into the administration of a far-flung corner of Britain's overseas territories amid lurid allegations of corruption and intimidation.
With their palm-fringed beaches and coral reefs, the Turks and Caicos Islands (TCI) enjoy a reputation as a favoured destination for tourists looking for some Caribbean sunshine.
But beneath the tropical idyll, the Commons Foreign Affairs Committee found "a palpable climate of fear" which could have come straight from the pages of a Graham Greene novel.
In a highly critical report, the committee accused the Foreign Office of being "too hands off" amid concerns about "rampant" corruption within the islands' government and the suppression of freedom of speech.
It pointed also to suspicions of "political interference" in the islands' judicial system which some witnesses had linked to a recent series of arson attacks on the islands' main courthouse and the offices of the attorney general.
The committee called for the British Government to establish a commission of inquiry with full protection for witnesses who came forward to give evidence.
At the centre of the corruption claims is the islands' Premier, Michael Misick, who is alleged to have built up a multi-million dollar fortune since he was elected to power in 2003.
In its report the committee noted that Mr Misick was currently under investigation by US law enforcement agencies over the alleged rape of an American citizen.
The committee's report however concentrated on claims that Mr Misick and his fellow government ministers had enriched themselves by selling off Crown land to property developers for their own personal gain.
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Since 2000, the islands have enjoyed one of the fastest rates of economic growth anywhere in the world as the rapid growth of tourism fuelled a development boom. However the committee said that when it launched its inquiry into the administration of Britain's overseas territories, it was surprised to be contacted by more than 50 islands' residents with allegations of corruption.
