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Can you recoup your EB-5 investment if your green card is denied?

Can you recoup your EB-5 investment if your green card is denied?

Answers

  • Avatar

    Lei Jiang

    Immigration Attorney
    Answered on

    If your I-526 is denied, normally you can. But if it is I-829, then it is difficult. Best.

  • Avatar

    Mahsa Aliaskari

    Immigration Attorney
    Answered on

    Most projects place an investor''s funds in escrow pending approval of the I-526. If the I-526 is denied the funds may be returned. However, there cannot be any sort of redemption agreement where you would be guaranteed a return of the investment if for some reason you are not able to obtain your final legal permanent residence.

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    Marisa Casablanca

    Immigration Attorney
    Answered on

    Before you invest in an EB5 program, you should investigate the terms if there is a denial. Most of these projects have a provision for the return of money under certain circumstances, such as denial of the residency. We are available if you need further assistance.

  • Avatar

    Ying Lu

    Immigration Attorney
    Answered on

    If you invest into a regional center project, whether your investment will be returned in the event that your conditional green card is denied depends on the agreement between you and the regional center. For example, some regional centers will fully refund the full investment amount plus the administration fee when the I-526 application is denied and some agree to give your investment back if your I-485/DS-230 application is denied. It really depends. You can also get an EB-5 green card by investing into your own EB-5 project. You can open a restaurant in the U.S. and hire 10 full time U.S. workers to work for this restaurant. When your green card application fails, you are your own boss and can decide to liquate the business.

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    Julia Roussinova

    Immigration Attorney
    Answered on

    It generally depends on the terms of your EB-5 investment. If you have invested in a Regional Center project, the terms of the Regional Center project''s offering documents must be reviewed to determine how and when the investment capital is returned to an EB-5 investor in the event of a denial.

  • Avatar

    Ed Beshara

    Immigration Attorney
    Answered on

    On the assumption that your investment is in an EB-5 Regional Center project and in a loan model, the offering documents such as the PPM may state you will receive the investment funds back if the Conditional Permanent Residency is denied.

  • Avatar

    Mona Shah

    Immigration Attorney
    Answered on

    Thanks for your email. Generally speaking, it is possible to recoup EB-5 investment funds if an I-526 petition is denied. This arrangement is usually included in the contractual agreements signed with a given Project. The contractual agreement, however, cannot guarantee the return on investment funds if the I-829 application to remove conditional lawful permanent resident status is denied. Such a redemption agreement would not satisfy the "at risk" requirement for investment capital.

  • Avatar

    James Stuber

    Immigration Attorney
    Answered on

    Yes, but only in the same manner as if the green card is granted.

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    Jeffrey E Campion

    Immigration Attorney
    Answered on

    It depends. Some allow for a return of the money if the I-526 is denied. You''ll need to look at the agreements with the Eb 5 company.

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    Boyd Campbell

    Immigration Attorney
    Answered on

    Depends upon what the securities offering says, but generally, yes, provided the money is there.

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    Fredrick W Voigtmann

    Immigration Attorney
    Answered on

    An EB-5 investment must be at risk in order to qualify. There is no guarantee that you can recoup your investment at any stage. Some regional centers, however, use an escrow account, which means that if the I-526 petition is denied, the funds will be returned to you by escrow. Other regional centers simply ''promise'' to return the funds to the investor if the I-526 petition is denied by USCIS. In either case, once the I-526 is approved the funds will be in the possession and control of the new commercial enterprise. Therefore, the investor is fully at risk and may lose all or a part of his or her investment, even in the unlikely event of the green card/immigrant visa being denied.

  • Avatar

    Reza Rahbaran

    Immigration Attorney
    Answered on

    Yes. If an escrow account has been utilized by the investor, then none of the investment funds are at risk until the petition is approved.

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    Steven Anapoell

    Securities Attorney
    Answered on

    Only if the company that received the investment (directly or indirectly) has the capital to return. There are no guaranties.

  • Avatar

    Roberto Ortiz

    Immigration Attorney
    Answered on

    I hope all is well. Most agreements that are signed when you invest in a EB-5 project have a clause that indicates that they will reimburse your monies as long as the reason for the denial does not involve any improprieties from you. If you have any additional questions, please do not hesitate to contact me. Thank you.

  • Avatar

    Shahzad Q Qadri

    RC Creator
    Answered on

    Depends on several factors. What stage you are at. Generally, if the I-526 I denied then you will be entitled to receive your investment back. However, at the I-829 stage if the project fails then you may not be able to get your investment back.

  • Avatar

    Jor Law

    RC Creator
    Answered on

    It depends on the terms of your investment; ask the issuer and confirm by reading the documentation. It is likely in the operating agreement and/or subscription agreement, and also summarized in the PPM.

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    Taher Kameli

    Immigration Attorney
    Answered on

    It all depends on the contract you signed with the project.

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    Elizabeth Krukova

    Immigration Attorney
    Answered on

    Your investment always stays in your possession in the event of a classical EB-5, where you invest in your own business. In case of a Regional Center investment, you should look at their regulations on that; a good center would have a provision where the money would be returned in a number of days.

  • Avatar

    Philip H Teplen

    Immigration Attorney
    Answered on

    The investment has nothing to do with USCIS. I will be happy to look at your investment and both review denial and recapture options.

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    BoBi Ahn

    Immigration Attorney
    Answered on

    Answer: It depends on how you have structured your investment. If the EB-5 invested funds were held in escrow subject to the Immigrant Visa application being approved, then you may recoup your funds upon denial. This is common practice and is authorized as far as EB-5 regulations are concerned as long as all the other required elements are present.

  • Avatar

    Neville M Leslie

    Immigration Attorney
    Answered on

    Yes, you can recoup your EB-5 investment if your green card is denied.

  • Avatar

    Denyse Sabagh

    Immigration Attorney
    Answered on

    It depends on the circumstances and the contracts you signed.

  • Avatar

    Jinhee Wilde

    Immigration Attorney
    Answered on

    Most of the Regional Centers will refund your investment amount if the I-526 application is denied. They may not refund their administrative/syndication fee, however, but good ones will. If you have invested into a private business, then it all depends on how the business is set up. Please consult an experienced EB-5 lawyer.

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