How can the EB-5 visa program be reformed? Steps needed to eliminate fraud and abuse in the EB-5 visa program.

The growing scandal of visa fraud, money laundering, securities fraud and securities law violations has effectively sunk the careers of Alejandro Mayorkas and Harry Reid, and is expected to soon sink the political careers of Hillary Clinton and Terry McAuliffe in addition to causing a PR nightmare for Bill Clinton. Senator Grassley has already asked for Mayorkas to be kicked out of the DHS as Mayorkas helped his friends the Clintons, Terry McAuliffe and Harry Reid to fraudulently obtain EB-5 visas for their investors. See Grassley's letter at www.smartbusinessbroker.com/Grassley_demands_Mayorkas_ouster_March_2015.pdf

USCIS figures leave no doubt about the fact that EB-5 visa investors have an approximately 40% chance of getting their permanent green card if they invest in EB-5 visas, and the ICE memo (see the memo at smartbusinessbroker.com/EB5_ICE_fraud_memo.pdf ) that recommends that the regional center program be shut out of the EB-5 visa program is a great first step.

The bill proposed by Jared Polis (HR 616) to extend regional centers in the EB-5 visa program is a terrible idea as it does basically NOTHING in order to protect EB-5 visa investors or the integrity of the EB-5 visa program.

I personally believe that ICE-HSI's recommendation to remove regional centers from the EB-5 visa program is actually a fantastic way to help eliminate fraud in the EB-5 visa program, but in case regional centers do wish to stay in the program, they should be made to adhere to the following guidelines: which would significantly help reduce if not eliminate fraud and abuse in the EB-5 visa program:

1. For the past 7 years, regional centers have illegally offered and sold BILLIONS of Dollars of worthless securities in overseas markets such as China. USCIS and SEC should require that any regional center that offers and sells securities overseas should provide documentation that they are doing so in a lawful manner by providing authenticated evidence of approval to offer securities from the overseas regulator. Any regional center that fails to offer this evidence should see their petition rejected.

2. Require all regional center CEO's to offer sworn affidavits that they do not and will not engage in conflict of interest. Those regional centers whose CEO's refuse to offer this affidavit should be barred from the EB-5 visa program.

3. Require all regional center CEO's to offer sworn affidavits to their EB-5 visa investors that they have fully disclosed and will disclose all material facts on an on-going basis.

EB-5 visa investors need to remember that the ONLY safe way to get approved is through Genuine Direct Investment Businesses.

Here are some of the critical reasons that EB-5 visa investors should ALWAYS choose Genuine Direct Investment Businesses and avoid regional centers:

·         In a Genuine Direct Investment Business, it is quite unusual to encounter fraud or conflict of interest. This alone is THE biggest reason why EB-5 visa investors usually experience capital loss if they opt for regional centers or unsafe Direct Investments (such as Voodoo or Marcos Pizza), while those who opt for Genuine Direct Investment Businesses usually NEVER experience capital loss.

·         EB-5 visa investors who choose Genuine Direct Investment Businesses usually earn annual ROI of 15% to 40%, while those who select regional centers usually earn 0-2% annual ROI.
Genuine Direct Investment Businesses offer easy exit strategies to EB-5 visa investors while those who invest in regional centers experience TERRIBLE exit strategies. 

·         Regional Centers usually commit securities fraud and securities law violations while this is usually unheard of in Genuine Direct Investment Businesses. 

·         EB-5 visa investors usually get capital gains if they invest in a Genuine Direct Investment Business and almost NEVER get capital gains if they invest in a regional center. 

·         EB-5 visa investors in Genuine Direct Investment Businesses usually see faster processing and approval of their petitions, while it takes much longer for EB-5 visa investors to get their immigrant visa through regional centers. 

·         EB-5 visa investors in Genuine Direct Investment Businesses have a higher chance of getting their permanent green card, while those who opt for regional centers have a lower chance of getting their green card. 

If you are a business owner or high net worth individual interested in migrating to the US using EB-5 visa or L1A + EB-1C visa, please contact us for a free consultation. We offer a turnkey solution and have a 100% fee refund guarantee if a client is denied due to our fault.

Mohammed Shaikh, MBA (Accounting), CFE, Licensed Business & RE Broker (CA & FL)
Online: http://www.smartbusinessbroker.com Phone: +1 407 535 0616