What You Need to Know About the Eb-5 Reform & Integrity Act of 2021
2/1/2024
The EB-5 Visa is a pathway to a Green Card for foreign nationals investing in a U.S. business. The EB-5 program, founded in 1990, has induced considerable investment in the U.S. economy over the past three decades. With his or her spouse and unmarried children under the age of 21, a successful investor can enjoy lawful permanent resident status in the United States and may also be eligible for citizenship at a later date.
EB-5 Visa Requirements
USCIS requirements for EB-5 Visa applicants include investing a minimum amount of $900,000 or $1.8 million. Specifically, the investment must equal at least $900,000 in targeted employment areas (TEAs) and $1.8 million elsewhere. In addition, the investment must create or preserve at least ten full-time jobs in the United States within two years.
EB-5 Program Mismanagement
Unfortunately, in many cases, unscrupulous individuals have abused the EB-5 program for personal gain. Scams have included misleading or false EB-5 advertisements, misuse and theft of investor funds, and improper solicitation of investors.
In some cases, EB-5 applicants have been victims of a breach of contract and did not receive their promised Green Cards after investing large sums through regional centers.
To combat EB-5 fraud, the Securities and Exchange Commission (SEC) has launched its Whistleblower Program, allowing individuals to receive awards for intercepting fraudulent EB-5 schemes. USCIS has been widely criticized for its lack of adequate regulation and transparency.
EB-5 Reform & Integrity Act
In 2019 and again in 2021, Senators Chuck Grassley and Patrick Leahy have introduced the EB-5 Reform and Integrity Act, a legislative move aimed at reforming the federal government’s EB-5 program. The new law aims to update the rules and regulations for Green Card approval and to eradicate the misappropriation of investor funds through regional centers.
According to Senator Grassley, the EB-5 program is off target. Although the original intent of the program had been to promote investment in economically disadvantaged areas and rural regions, in many cases, investments have gone to already developed areas that promise higher returns.
What The EB-5 Reform & Comprehensiveness Act Means For Investors
Despite some criticism of the restrictions that the reformed law would impose, the new EB-5 legislation is generally good news for foreign investors. It would mean relicensing regional centers for the next five years, greater accountability of regional centers to applicants, and stronger protection for investors who unknowingly become involved in a fraudulent act.
In addition, the reform would include indirect and induced employment in the calculation of full-time jobs created, making this program requirement easier to achieve.
Suppose you have a specific concern regarding your EB-5 Visa application under the EB-5 Reform and Integrity Act. In that case, we recommend contacting an attorney for immigration status, Visa application, and permanent residency questions about your case.
The Lozano Law Firm: Immigration Lawyer Near Me
At The Lozano Law Firm, we believe that immigrants are truly good for our country. We are proud to help families and corporations through the immigration maze.
Aside from its practical and emotional challenges, immigration can include a stressful bureaucratic phase, during which individuals may need help understanding their legal rights. Alfredo Lozano, a Texas board-certified immigration attorney licensed to practice U.S. immigration law, can help you navigate confusing paperwork with experience, dedication, and an individual approach.
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