Can investors reinvest the EB-5 capital in a non-regional center project in a redeployment situation?

EB-5 funds must remain at-risk until the I-829 is filed.

The law or the implementation of it by USCIS seems to suggest that the funds need to be "at-risk" and under the watch of the NCE who originally collected the funds. The fact that the jobs are already created and the JCE has already paid off the NCE does not seem to change the facts. The funds need to be at-risk by being reinvested by the NCE and not returned to the EB-5 investor before. In other words, every EB-5 investor is required to retain his or her investment capital "at-risk" in the NCE during the sustainment period defined as until such time as that EB-5 investor has been in the U.S. for two years in conditional resident status, commencing on the date the EB-5 investor entered the U.S. or obtained a change of status if the investor was already in the U.S. under a different visa. According to the amended Policy Manual on June 14, 2017, of USCIS, after the sustainment period concludes, even though the I-829 petition to remove conditions has not been adjudicated, investor capital can be returned. Bottom line is this: Yes, at the minimum the money needs to be at risk until I-829 filing stage. If the regional center is offering you a reinvestment option that would come due even way past your expected I-829 adjudication date, have a conversation with them to consider reinvesting your funds in a shorter term eligible alternative that you feel comfortable with.

The investment must remain at-risk until the I-829 is filed.

Yes! Unfortunately, your investment must be "at-risk" until the petition to remove conditions on Form I-829 is filed. Or, at the very least and even more conservatively, until it&#39s approved. Thus, you must re-deploy the funds in order that they continue to be "at-risk." Unfortunately, if your investment funds are refunded to you, in fact you could possibly run the risk of having your I-829 petition denied unless the funds are re-deployed by the entity in which you invested. You should seek to negotiate through the regional center, an arrangement whereby the funds could be refunded no sooner than the filing of your I-829 petition.

USCIS has only barely started to define redeployment procedures. The funds do need to be at-risk until at least the filing of the I-829. I would want to look at all of the terms of the new deployment to see if investors like you could early-release after filing or not.

Redeployment while I-829 is pending, just as in this case, is highly debatable and at times controversial. In your situation, look at the terms governing the issue in your subscription agreement. On the proposal from the regional center to invest in another project which has nothing to do with your original investment and is unrelated to your pending I-829, do not accept it until you obtain legal advice. Therefore, discuss this with your attorney so as to ensure your rights under the agreement are protected.

I-829 regulations require that your investment remain invested through the NCE until I-829 adjudication.