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What should I do if I withdrew my application but the regional center refuse to pay me back?

What should I do if I withdrew my application but the regional center refuse to pay me back? I invested $500,000 in an EB-5 regional center project and filed my I-526 petition in January 2014. Before the approval of I-526, I withdrew the petition in March 2015 from USCIS and the withdrawal was approved within 2 weeks. To date, I only have received $50,000 back from the regional center. It said it does not have the capital to pay me back. What should I do?

Answers

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    Julia Roussinova

    Immigration Attorney
    Answered on

    Your offering documentation contains terms about your exit strategy as an EB-5 investor upon the occurrence of certain events, such as withdrawal before I-526 approval. You need to review that and also consult a securities lawyer to see what options you may have.

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    Mark AM Catam, Esq

    Immigration Attorney
    Answered on

    I would revisit the offering documents and determine the conditions for requesting return of your investment. Most offering documents would unequivocally indicate that in the event of a denial, the NCE will refund the $500,000 within 90 days. Having said that, offering documents may treat withdrawals of I-526 differently in terms of refunding the investment. In some cases, if the investor withdraws the I-526 without the fault of the NCE or JCE, the investment stays with the NCE up to the completion of the original terms; and in some offerings, withdrawal of I-526 means an automatic refund of the capital the investor. Ultimately, you would need to really review the offering documents on the issue of refund. Additionally, I have also seen projects take a replacement investor (that would replace your investment) allowing the NCE to have enough capital to return the existing $500,000 of the investor.

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    BoBi Ahn

    Immigration Attorney
    Answered on

    Consult your agreement with the Regional Center regarding the conditions and procedure for return of capital investment.

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    Fredrick W Voigtmann

    Immigration Attorney
    Answered on

    The terms and conditions of your investment should be contained in the subscription agreement and other agreements you signed with the regional center. You need an attorney to review those documents with you and to determine your rights and obligations, as well as the rights and obligations of the regional center.

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    A Olusanjo Omoniyi

    Immigration Attorney
    Answered on

    Generally, in this type of situation, the exit clause of the investment would have provided a guideline for both parties: investor(s) and the regional center. Also, your agreement with the regional center needs to be thoroughly vetted as your investment fund should have been in an escrow and not used until your petition is approved. It is advisable that you consult with an attorney right away to pursue all resolution and legal remedies available.

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