The fact is, the report was made up by folks whose core educational focus seems to be forest economics and agricultural economics (see link to check out their credentials http://www.alwardinstitute.org/index.php/about-us)
The "report" ESTIMATES that the SPENDING (and not investment) associated with EB-5 regional center investors contributed USD 3.58 BILLION to the US economy in 2013 and supported over 41,000 jobs. In my opinion, "economists" who actually had any integrity would have actually gone ahead and also clearly stated the actual number of jobs created, and just how much of the money was invested and how much was diverted as commission to overseas visa agents in China and other places. The fact that these "economists" failed to report that 12-25% of the investment is actually diverted elsewhere and not actually invested in a business shows that their research was not thorough.
An economist with integrity would have definitely reported on the low probability of getting a permanent green card if an EB-5 visa investor were to invest in a regional center as well as the almost certain prospect of seeing part if not all of the capital being lost due to investment in a regional center.
The report also seems to have been backdated, as it claims it was based on 2013 data, and I believe a review of USCIS data will reveal that in 2013, the number of regional centers was definitely below 600, contrary to what the IIUSA report claims.
When the report itself starts with inaccurate figures, it does not bode well for the rest of the report.
The reason ICE - HSI opposes regional center renewal in the EB-5 visa program (which actually IS permanent) is that there is widespread money laundering and securities fraud committed by regional centers.
The reason USCIS FDNS opposes regional center renewal in the EB-5 visa program (which actually IS permanent) is that there is widespread visa fraud committed by regional center investors.
The fact is, SEC actually advised EB-5 visa investors to avoid regional centers.
The fact is, even DHS chief Jeh Johnson acknowledged the rampant fraud and conflict of interest seen with regional centers.
Since 2012, ICE has officially recommended banning regional centers from the EB-5 visa program and actually said "there can be no safeguards that can be put in place that will ensure the integrity of the regional center model." See link at http://www.smartbusinessbroker.com/EB5_ICE_fraud_memo.pdf, and also see the Congressional debate at https://www.congress.gov/congressional-record/2013/12/19/senate-section/article/s9001-2 Even the SEC warns EB-5 visa investors to avoid regional centers. See link http://www.sec.gov/investor/alerts/ia_immigrant.htm
Here are some of the critical reasons that EB-5 visa investors should ALWAYS choose Genuine Direct Investment Businesses and avoid regional centers:
Genuine Direct Investment Businesses offer easy exit strategies to EB-5 visa investors while those who invest in regional centers experience TERRIBLE exit strategies.
Mohammed Shaikh, MBA (Accounting), CFE, Licensed Business & RE Broker (CA & FL)
Online: http://www.smartbusinessbroker.com Phone: +1 407 535 0616