EB5 China (Part 2)

CHINA EB5 GRAFT IN THE NEWS

A New York Times front page article on May 16, 2015 reports that China is seeking return of people it accuses of graft, corruption and economic crimes.  The article mentioned U.S. prosecution of Chinese citizens in the U.S. for money laundering and visa fraud, as well as one who lied about “the source of funds to obtain a visa under a program that provides a special path to citizenship for those who invest $900,000” (i.e., EB-5).

It is important for Regional Centers and projects to know their investors and guard against money laundering.  We have processed over 100 (many are pending) I-526 petitions and carefully document each person’s source of funds. So far we have an approval rate of about 98% (past success does not guarantee future approval).

PREDICTION:  EB-5 CHINA QUOTA PROGRESSION

The Department of State official who sets the quota stated at a Federal Bar Association meeting that he predicts the EB-5 quota cut-off date of May 1, 2013 may possibly advance to November 2013 by the end of 2015.  He says the situation is fluid with many approved I-526s in the pipeline, making it difficult to predict the quota progression.