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Can I create a sub company in a different industry to maintain my EB-5 workforce while waiting for my I-829 decision?

My current business, the one we used to file for I-526 and I-829, is failing. However, I’m thinking of creating a division or sub company to continue keeping the 10 people work force. The new division or a sub company is not in the same industry as the one that we filed. Will this create trouble for the I-829 later on? If it is ok to do so, this will allow me to maintain the labor force of 10 people, able to make a living while waiting for a decision on I-829 for EB-5. Are there any other alternatives?

Answers

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    Salvatore Picataggio

    Immigration Attorney
    Answered on

    With the I-829 filed, your obligations for investment and job creation have ended.

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    Fredrick W Voigtmann

    Immigration Attorney
    Answered on

    Since you have passed the end of your conditional period, if you sustained your investment throughout the entire sustain/conditional period and created the required jobs within that period, then there may not be any additional evidence needed in order to get the condition removed. Even if USCIS issues a Request for Evidence in the future, it really should be focused only on the conditional period, not what happened after. Should you choose to keep your business going until the I-829 is approved, any subsidiary must be wholly-owned by your NCE to keep it within the USCIS definition of "new commercial enterprise."

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    Bernard P Wolfsdorf

    Immigration Attorney
    Answered on

    If you have sustained your investment and created the jobs according to the business plan, you may already be in the safe zone. Starting a new business and changing the business may be permissible but it may not even be necessary in your case.

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    Dale Schwartz

    Immigration Attorney
    Answered on

    Very complicated question. You have at least $500,000 at stake. I do not know any decent lawyer who is willing to give you an opinion which, if they turn out to be wrong, could make them liable for a huge malpractice award. Have you consulted with your own EB-5 lawyer?

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    Rani Emandi

    Immigration Attorney
    Answered on

    There is no simple answer, it requires assessment of the basis for your I-526 approval and the nature of the business.

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    Lynne Feldman

    Immigration Attorney
    Answered on

    The answer is complicated and involves the redeployment of funds rule and could be considered a material change.

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    Karen-Lee Pollak

    Immigration Attorney
    Answered on

    The 10 people should continue working for the company that is the subject of the investment and it should continue to operate until your I-829 is approved.