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Monday, August 3, 2015

Analysts believe that the latest attempt to renew regional centers in the EB-5 visa program has no chance of success!

The latest attempt to renew regional centers in the EB-5 visa program is expected by legislative analysts to fail (see link https://www.govtrack.us/congress/bills/114/hr3370) and it is believed that Direct Investments will be the only choice available for EB-5 visa investors.

As it is, Direct Investments are THE BEST CHOICE for EB-5 visa investors as they are fast and are usually free of fraud (unless you count the crooks who try to get EB-5 visa investors to invest in risky franchises and businesses).

As predicted since last year, it seems that regional centers may soon cease to exist due to 2 important reasons:

1) An inability to get congressional approval for an extension due to strong opposition from law enforcement and intelligence agencies.

2) An increased level of monitoring and enforcement by SEC, ICE, USCIS, FBI, IRS-CID and DoS investigators will make it practically impossible for regional centers to function even if they somehow manage to get an extension approved in Congress.


I just read an article (see link http://www.wsj.com/articles/sec-escalates-financial-penalties-1436804327) that detailed how the SEC is acting quite aggressively against those who violate securities laws. It is common knowledge that regional centers usually violate securities laws AND commit securities fraud, which is why it is quite likely that even if regional centers do manage to get an extension through S. 1501, they will have to worry about the SEC BEFORE they have to worry about the proposed new restrictions that will be imposed on regional centers from October (assuming S 1501 actually passes).
EB-5 visa investors need to remember that the ONLY safe way to get a permanent green card in the EB-5 visa category is by investing in Genuine Direct Investment Businesses. At present, there is very little chance of either of the regional center extension bills being written into law due to stiff Congressional opposition.
Some of the important reasons that EB-5 visa investors should ALWAYS choose Genuine Direct Investment Businesses and avoid regional centers are:

1.    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 BBQ or Marcos Pizza), while those who opt for Genuine Direct Investment Businesses usually NEVER experience capital loss.

2.    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.

3.  Genuine Direct Investment Businesses offer easy exit strategies to EB-5 visa investors while those who invest in regional centers see TERRIBLE exit strategies. 

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

5.    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. 

6.    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. 

7.    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 without getting cheated, 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 negligence or incompetence.

For more information, please contact
Mr. Mohammed Shaikh, MBA (Accounting), CFE, Licensed Business & RE Broker (CA & FL) at +1 407 535 0616

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