The federal government is considering whether to provide for another extension of the EB-5 visa program. While it is headed into its 28th year, the program does have its detractors who are concerned about the recent lawsuits over alleged EB-5 fraud. The program has provided funding for many successful projects in the New York area, and countless foreign nationals have obtained visas by way of their investments.
New York City and the surrounding boroughs have often benefited from investments through the EB-5 visa program. This particular visa allows for foreign nationals to invest a minimum amount in a qualified development project that provides a set number of employment opportunities for residents. In exchange, the investors receive the opportunity to apply for green cards for themselves and qualified immediate family members. Unfortunately this visa has been the subject of many civil lawsuits over allegations of EB-5 fraud.
Many New York developers have completed their projects with the help of funding raised through the EB-5 visa program. This program was started in 1990 and allows foreign nationals an opportunity to obtain a green card through investments in qualified projects here in the United States. Unfortunately, the program has been tarnished by allegations of EB-5 fraud. The latest allegation involves nearly 200 investors who claim to have been defrauded.
Many New York businesses have benefited from the EB-5 visa program. This federal immigration program allows foreign nationals an opportunity to apply for a green card after investing in qualified development projects. Unfortunately, not every project comes to fruition, and some investors have been the victims of EB-5 fraud.
There have been many projects completed in New York through the use of investments from companies that are affiliated with the EB-5 visa program. In most cases, the project is developed on time, and the foreign investors are assured of their rights to apply for a visa and seek permanent residency. Unfortunately, there have been situations where the developers committed EB-5 fraud, and both investors and loan companies are left to try and recoup their losses.
At the end of September, the EB-5 visa program is set to expire once again. While it is uncertain what actions Congress may take, there have been efforts on the part of some lawmakers and an official with the Immigration Service, who are calling for the program to be terminated. There have been many projects here in New York that came to fruition due in part to funding from this program, but concerns over EB-5 fraud and national security may make it more difficult for the program to survive.
The establishment of the EB-5 visa was intended as a way of obtaining foreign investment capital for certain projects that met the program's parameters. In exchange for the minimum $500,000 investment, a foreign national who met the qualifications would then be eligible to apply for a green card. Many states, including New York, have benefited from this particular visa program though it has been the target of many EB-5 fraud attempts.
The EB-5 visa was intended to raise capital in order to create employment opportunities and improve economic conditions in targeted areas of the country. In return, the foreign nationals who make the required investments are given a permanent visa and the opportunity to become citizens as long as they meet the program's requirements. Though New York developers have often benefited from this particular program, concerns over EB-5 fraud are prompting calls for revisions.
Hurricane Katrina will always be remembered as one of the most devastating storms. In the years since, some communities are still struggling to rebuild through investment programs such as the EB-5 visa. When these types of investments are misused through alleged EB-5 fraud, it can leave foreign investors living in New York and elsewhere with fears of losing their dreams of rebuilding their own lives.
Those who hope to rebuild their lives in this country have limited choices when it comes to seeking a visa. For some foreign investors, the EB-5 visa can provide them with the opportunity to invest in a real estate project while securing the possibility of applying for a coveted green card. Unfortunately, there are many reports of these investment projects being nothing more than EB-5 fraud that has robbed many New York residents of their money and jeopardized their immigration dreams.