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What is the next step after an EB-5 project is shut down?

Let's say I am investing through EB-5 in building a commercial complex, and for some unexpected reason, the government shuts down the project or withdraws the project's operating licenses. What would I have to do to continue my EB-5 application? Has this ever happened before in an EB-5 project?

Answers

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    Fredrick W Voigtmann

    Immigration Attorney
    Answered on

    Your EB-5 case depends upon meeting the statutory and regulatory eligibility criteria for initial classification AND upon sustaining your investment in good faith and creating the required number of full-time jobs within the two-year period or within a reasonable period of time. If the project is shut down, for whatever reason, and you are not able to sustain your investment and create the required jobs, then your EB-5 conditional lawful permanent resident status likely will be terminated.

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    Shahzad Q Qadri

    RC Creator
    Answered on

    To date this has not happened; the general consensus is that if the EB-5 petitions have been filed, then they will be grandfathered in.

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    John J Downey

    Immigration Attorney
    Answered on

    It has happened. You would need to petition the USCIS and it would depend on the reason for failure. If it was a governmental take-over or an act of God they could allow you to proceed, but it is not an easy route to take.

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    Lynne Feldman

    Immigration Attorney
    Answered on

    Unfortunately it has happened before. Your only option is to re-file if the project is really shut down.

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    Jinhee Wilde

    Immigration Attorney
    Answered on

    Many EB-5 projects fail, either due to negligence or some unforeseen reasons - this is the problem with investing in a new entity with no track record in EB-5. All you can do is get your investment funds back from that project and reinvest immediately with another regional center. I think it will behoove you to choose a regional center with a successful track record in both I-526s and I-829s. There are several with 100 percent approval track records in multiple projects.

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    Salvatore Picataggio

    Immigration Attorney
    Answered on

    You would likely have to refile an I-526 petition with a new EB-5 project, but, hopefully, the current investment would have had some provision to repay funds in the event the project fails. You would lose time, but hopefully you won't lose money.

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    Stephen Berman

    Immigration Attorney
    Answered on

    The visa application is specific to each investment. You could find a new investment and start over.

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    Robert Cornish

    Securities Attorney
    Answered on

    It has happened before. You will need skilled counsel, likely a securities litigator, to assist.

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