The recent surge of migrants crossing the Mediterranean in search of protection has presented a major challenge for the whole European Union. What has been often labelled as a 'refugee crisis' is first and foremost a crisis of international politics and the result of inadequate response mechanisms at national and local level. This paper focuses on the case of Sicily, the second main area of arrival, after Greece, when migration to Mediterranean reached its peak.The history of the Italian island has been marked by dramatic shipwrecks and scandals concerning the management of some reception centres. Since Autumn 2015, however, Sicily has also seen the rapid implementation of a new approach based on the creation of 'hotspots': designated areas for the rapid separation of those deemed as economic migrants from 'genuine asylum seekers'. In the view of some observers, this has made Italy into a model of migration management, as opposed to the 'chaotic' situation of the Greek islands. However, the 'hotspot approach' has been also criticized for being engrained on practices that many deem illegal by both national and international standards. Migrants are filtered largely on the basis of national and racial lines and those who are not allowed to stay receive a 'deferred expulsion' which in effect condemns them to an illegal status on the Italian soil. Informed by findings from an ESRC-funded research project (EVI-MED)which included analysis of official statistics and policy documents and interviews with local activists and practitionersthis paper examines this complex scenario, exploring the social, legal and human implications of the refugees' reception system in Italy.