Some links to stories about them are listed below:
- http://www.law.com/jsp/article.jsp?id=1123751116613&slreturn=20131104221706 (The Jack Abramoff scandal is arguably the BIGGEST political corruption scandal of it's time.)
See link: www.natlawreview.com/article/do-overseas-investors-need-to-be-accredited
The linked page also has links to several other articles authored by Mr. Anapoell, and to me, it seems that the goal is to help regional centers and partnership promoters avoid complying with US Securities laws.
See http://www.natlawreview.com/article/inadvertent-broker-dealer-using-eb-5-new-commercial-enterprises-to-raise-capital-pro and also http://www.natlawreview.com/article/securities-and-exchange-commission-sec-gets-eb-5-ring-considerations-minimizing-expo as two examples. There are more links on that page.
The odd coincidence is, just a few weeks ago, I myself wrote an article advising overseas EB-5 visa investors to insist on receiving offers to sell securities from the US offices of regional center or partnership promoters and to send the subscription agreement ONLY to the US office of the issuer, as this helps the EB-5 visa investor have solid grounds to sue when (and not IF) they figure out that they've been cheated by the regional center / partnership promoters, who usually commit securities fraud by failing to disclose all material facts and illegally offer and sell securities in countries such as China, India, Mexico, etc. See link: http://eb5-expert.blogspot.com/2013/11/eb-5-visa-investors-need-to-take-3.html
Another odd coincidence is, if EB-5 visa investors were inclined to check it out, they will discover that most regional centers and partnerships which have Greenberg Traurig involved, usually engage in rampant conflict of interest and usually commit securities fraud. As such, it may be advisable for EB-5 visa investors to avoid investing in entities that have had dealings with Brian Su or Greenberg Traurig, as it seems that the potential for fraud, conflict of interest and visa loss (besides time and money lost) is a lot greater wherever they seem to be involved. I'm not casting aspersions on the fine folks at Greenberg Traurig, even though they may be commonly referred to in derogatory terms by several law enforcement agencies and the SEC, and am just pointing out that statistically speaking, the chances for fraud and conflict of interest against EB-5 visa investors seem to increase if Greenberg Traurig is involved.
It is ALWAYS advisable for EB-5 visa investors to only opt for Genuine Direct Investment Businesses, but in the unlikely event that an EB-5 visa investor has taken leave of their senses, the least they can do is to insist on being in the US when they sign the subscription agreement, and if that is NOT possible, they should always demand the following notarized affidavits from the CEO and CFO of the regional center or partnership stating the following:
a) A notarized guarantee by the top 3 officers of the regional center / partnership firm AND the marketer, confirming that they will clearly disclose all material information on an ongoing basis, as failure to do so is classified as SECURITIES FRAUD.
b) A notarized guarantee that the marketer and regional center / partnership officers will NOT engage in conflict of interest, and will procure goods / services and hire employees in a transparent and competitive manner.
c) A notarized guarantee to fully refund an investor's fees in case the investor's petition is rejected due to the fault of the regional center.
d) A full disclosure of the amount of capital that the firm's founders and investors have invested and the percentage of ownership stake and profits that they will get.
We always encourage EB-5 visa investors to invest in Genuine Direct Investment Businesses, as they have several advantages listed below:
- Full control of funds and business. This ensures that an EB-5 visa investor is able to avoid fraud and conflict of interest, as these are the two major reasons that regional centers are terrible choices for investors. It can be safely said that while most if not all regional centers and partnerships engage in fraud and conflict of interest (by procuring good & services from related parties at inflated prices and by hiring related individuals instead of hiring transparently in a meritocratic manner), this problem is usually never seen in Genuine Direct Investment Businesses, as the EB-5 visa investor will always procure goods and services at the best possible rates, and will only hire employees that deserve hiring.
- Faster processing and approval times: Regional Center marketers usually don't disclose the fact that I-526 petitions based on Genuine Direct Investment Businesses are usually approved in about half the time (or less) it takes to get them approved through regional centers.
- Higher approval rates: My EB-5 visa clients have had a 100% approval rate whereas those who chose regional centers usually see 42% approval rate.
- Easy exit strategy: EB-5 visa investors who invest in Genuine Direct Investment Businesses have far easier exit strategies, where EB-5 visa investors can exit in as little as 3 years, whereas those who opt for Partnerships or regional centers are STUCK for 5-9 years.
- Higher Return on Investment: It is quite common to see annual Returns on Investment ranging from 20-35% in Genuine Direct Investment Businesses, whereas the annual returns from regional centers and partnerships are usually 0 to 5%. In plain words, over a 3 year period, in a typical worst case scenario comparison between Genuine Direct Investment Businesses on 1 hand and regional centers & partnerships on the other hand, an EB-5 visa investor would earn USD 300,000 with a Genuine Direct Investment Business and $15000 with a regional center.
- Capital gains: Those who invest in Genuine Direct Investment Businesses usually see capital gains, whereas those who choose partnerships and regional centers usually see capital losses.
- Our clients ALWAYS have full control of their business and their money. Those who choose our competitors usually have to kiss their money goodbye, and are STUCK for 5-9 years.
- We offer a written guarantee of freedom from fraud and conflict of interest, whereas our competitors, regional centers and direct investment partnerships usually don't offer this guarantee.
- We offer a written guarantee of FULL disclosure of material facts on an ongoing basis, whereas our competitors usually don't offer this guarantee.
- We offer a written guarantee of full fee refund in case a client is rejected due to our team's fault, while our competitors usually don't offer this guarantee because they are incompetent cowards who are unsure about the quality of their work.
- Since 2004, our clients have NEVER been denied at the I-526 and I-829 stage, and have NEVER suffered operating or capital losses, and have usually earned over 22% annual Return on Equity because of our focus on due diligence and our extensive efforts to reduce risk by preventing fraud and conflict of interest. Try finding a regional center or partnership that boasts of this record.
Mohammed Shaikh, MBA, CFE, Licensed Business & RE Broker (CA & FL)
Online: http://www.smartbusinessbroker.com Phone: +1 407 535 0616