Investor Alert: Investment Scams Exploit Immigrant Investor Program
The U.S. Securities and Exchange Commission's ("SEC") Office of Investor Education and Advocacy and U.S. Citizenship and Immigration Services ("USCIS") are aware of investment scams targeting foreign nationals who seek to become permanent lawful U.S. residents through the Immigrant Investor Program ("EB-5"). In close coordination with USCIS, which administers the EB-5 program, the SEC has taken emergency enforcement action to stop allegedly fraudulent securities offerings made through EB-5.
The fact that a business is designated as a regional center by USCIS does not mean that USCIS, the SEC, or any other government agency has approved the investments offered by the business, or has otherwise expressed a view on the quality of the investment. The SEC and USCIS are aware of attempts to misuse the EB-5 program as a means to carry out fraudulent securities offerings.
The fact that a business is designated as a regional center by USCIS does not mean that USCIS, the SEC, or any other government agency has approved the investments offered by the business, or has otherwise expressed a view on the quality of the investment. The SEC and USCIS are aware of attempts to misuse the EB-5 program as a means to carry out fraudulent securities offerings.
SEC and USCIS urges the investors to look for warning signs of fraud. So far the hallmarks of fraud in EB5 program are as follows: 1) promises of a visa or becoming a lawful resident; 2) guaranteed investment returns or no investment risk; 3) Overly consistent high investment returns.
SEC and USCIS also recommend investors to seek independent verification to confirm whether claims made about the investment are true. Independent lawyers with economic background, with no affiliation with the projects, are qualified professionals to conduct due diligent research for verification purpose. We are one of those. If you have any questions, please call us at 954 892 5517.
