Wednesday, June 3, 2015

What is the shocking secret about EB-5 visas that regional centers don't disclose? Where are the missing I-829 approvals?

Regional centers and many "due diligence experts" don't disclose the shocking truth that over a hundred 100 EB-5 visa investors who got their I-526 approvals have been ordered deported due to a failure to get their I-829 approval, and thousands of EB-5 visa investors are now facing deportation (removal) as regional centers are unable to help them get their I-829 approval. The imminent release of the GAO audit will increase pressure on the USCIS to commence removal proceedings against EB-5 visa investors who've been unable to get I-829 approval.

This can be easily verified by filing a FOIA request with the USCIS or comparing the number of I-526 approvals for a year, and then seeing the number of I-829 petitions and approvals for 2 years down the line. For instance, any EB-5 visa investor can see the number of I-526 petitions approved in 2011 and 2012, at the USCIS site and then compare it to the I-829 petitions filed in 2013 and 2014 at to confirm that there is a sharp difference in the number of I-526 approvals and the number of I-829 petitions filed. EB-5 visa investors need to remember that the approval of I-526 only gets them a TEMPORARY green card.

EB-5 visa investors should know that they only get a conditional green card for the first 2 years and this green card status expires if the EB-5 visa investor isn't able to prove within 2 years that the EB-5 visa investor (or the petitioning regional center) has created the 10 jobs. To remove the conditional status, the EB-5 visa investor has to file the form I-829, and only if the EB-5 visa investor is able to prove compliance with the conditions of the EB-5 visa program (investing the $500,000 and creating 10 jobs), is the investor granted unconditional Permanent Resident Status. If an EB-5 visa investor is unable to prove compliance with the conditions, the EB-5 visa investor loses their LPR status and becomes an illegal alien.

EB-5 visa investors should ask ALL EB-5 service providers who wish to provide advice or services to EB-5 visa investors, the following important questions and insist on getting the answers in writing in order to quickly weed out the frauds and crooks:

1) Will you be owing me a fiduciary duty if I signed up with you? If the answer is NO, then avoid them. Regional center marketers, many immigration attorneys and even self proclaimed due diligence experts usually don't disclose the fact that they get paid by the very same entity they are asked to evaluate, and they don't disclose all material facts to EB-5 visa investors as doing so would kill their future income streams. We do NOT receive and have never solicited any commissions for recommending a business to our clients.

2) How many years of experience do you actually have with Direct Investments and how many EB-5 visa investors have you actually helped under the Direct Investment Category?

3) In the past, have you sold or marketed regional center securities to EB-5 visa investors? If the answer is YES, please avoid that individual, as it is quite likely that they have committed securities fraud and money laundering.

4) Are you willing to offer a written guarantee of full disclosure of material facts and freedom from conflict of interest?

5) Are you willing to offer a fee refund guarantee in case my case is denied due to your negligence or incompetence?

If a service provider or marketer will not owe you a fiduciary duty, then do NOT trust them at all. It is no secret that there is widespread conflict of interest and fraud going on against EB-5 visa investors, whether you see the example of Joe Sloboda marketing Voodoo BBQ without clearly disclosing his interests as a master franchisor and relationship with Fred Burgess, or the fact that EB-5 visa investors can get more established (and safer) fast food franchises to invest in, when compared to Voodoo BBQ, or the example of David Tashroudian, who wanted a wrap around agreement marketing Carl's Jr. Franchises to EB-5 visa investors, taking over 11 % of the revenues as royalties going into his own pocket, while Carl's Jr. (the franchisor) itself would only get 8.5%.

I do NOT get any money from any franchisor, so our advice on selecting a franchise is objective, impartial and based entirely on merits. I actually offer a written guarantee of freedom from fraud and conflict of interest, and also guarantee full disclosure of material facts, as not only is this good business practice, but by virtue of being a Licensed Real Estate and Business Broker, I'm required by law to do so. As I'm a Licensed Real Estate and Business Broker, I legally owe a fiduciary duty to my clients, which means that I ALWAYS have to place my clients interests ahead of my own.

Recently, DHS OIG also issued a report recommending significant restrictions on regional centers due to fraud, money laundering and other serious issues. USCIS had a joint conference call last year along with SEC, where they indicated significant concerns about securities law violations and fraud committed by regional centers against EB-5 visa investors. SEC also issued their own notice advising EB-5 visa investors to be cautious about dealing with regional centers due to fraud committed by regional centers and unscrupulous partnership promoters.

The fact is, most of the service providers in today's EB-5 services marketplace have aided, abetted, committed or conspired to commit conflict of interest, securities fraud, money laundering, securities law violations and other serious felonies. These range from Matt Gordon, David Tashroudian and Joe Sloboda's conflict of interest laden Direct Investment solutions offered to EB-5 visa investors, to the regional centers marketed by Brian Su and Kevin Jeffers, and the results are delayed processing, low returns, capital losses and denial of permanent green cards.

Why do regional centers offer such terrible results to EB-5 visa investors?

The answer is: Regional centers usually pay a large amount of money paid towards commissions, and also suffer from conflict of interest, where hiring and procurement of goods & services are done from related parties at inflated costs.

If a regional center promoter's first interest is stealing instead of serving their investors, then capital losses, low returns, delayed processing due to increased regulatory scrutiny, terrible exit strategies and high percentage of visa loss are inevitable.

Why do our EB-5 visa investors usually see high return on equity, capital gains, 100% approval of I-526 and I-829, quick approval and no fraud or conflict of interest?

EB-5 visa investors must remember an important fact: As licensed RE & Business Brokers, we actually owe a fiduciary duty to our clients. This means that the law requires us to always put our client's interests ahead of our own. EB-5 visa investors should ask if the service provider owes them a fiduciary duty, and strongly suspect the motives of those who don't owe them fiduciary duties.

This is why we recommend top ranked franchises instead of risky franchises such as Twistee Treat, Voodoo BBQ, Marcos Pizza, etc.
This is why we don't engage in conflict of interest or conceal material facts.
This is why we advise our clients in ways that help them get their green card (EB-5 visa) in a quick, safe and usually profitable manner, as a failure to do so will jeopardise our professional licenses.
This is why we confidently offer written guarantees of full fee refund in case our client is denied due to our fault as well as written guarantees of freedom from fraud, conflict of interest and full disclosure of material facts.

Our competitors usually don't owe a fiduciary duty to their clients and will usually refuse to offer the written guarantees that we confidently offer. We know that our team is quite competent, which is why we've no problems in offering a 100% fee refund guarantee to our clients in case our clients fail to get their EB-5 visa due to our fault. If our competitors were asked to offer the same fee refund guarantee, they usually refuse to do so as they aren't that confident about the level of their services.

Advantages of Genuine Direct Investment Business:

1. Faster processing and approval times.
2. Easy exit strategy.
3. Investors usually get a 15-35% annual Return on Equity.
4. Investors usually get Capital gains, whereas regional center investors usually get capital losses.
5. Our clients have a 100% approval rate of I-526 and I-829, which is a lot higher than regional centers or other partnerships.
6. Full control of business and capital, which helps prevent fraud, conflict of interest and losses.

For more information, please visit our website or read our blog at

If you're an EB-5 visa investor, be sure to hire our team to help you. You'll be glad you did.

Yours truly
Mohammed Shaikh, MBA, CFE, Licensed Business & RE Broker (CA & FL)
Phone: +1 407 535 0616

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