USCIS EB-5 Call

A few times a year, the USCIS holds a call to address EB-5 legal and procedural issues. In the past, the calls have provided little new information and often our questions are not answered. Recently the USCIS held a call and provided some highly technical and more general information.

For example, the USCIS said, total EB-5 staffing at the California Service Center has substantially increased, and should ultimately reduce the current EB-5 case processing time of five months. We have seen such claims before and processing times are still slower than a few years ago.

• USCIS has begun gathering data about the number of applications filed for specific regional centers. The USCIS expects to begin releasing the data for publication later this year.

• USCIS clarified their policy on Office of Foreign Assets Control (OFAC) licenses, stating that a license would not be required of an Iranian national residing outside of Iran if the money is shown to be obtained through a lawful source and transferred to the U.S. without traveling through a prohibited Iranian bank. Previously USCIS issued Requests For Evidence (RFEs) requesting an OFAC license or an OFAC letter of no objection.

EB-5 Investor Green Cards

Source Versus Path of Funds

What is the difference between the “source” and path of funds?

We use these terms to prove that the funds belong to the investor and the funds were derived from legal activity.

Source. The funds must be shown to have been earned legally and not be drug or mafia profits. Documents include tax returns when available, company papers, wills, property sales records, bank savings documents, etc.

Path. We gather documents to show the transfer of the funds from the source to the investor to the investment (usually a Regional Center). We gather the bank wire transfer records. In some cases there is a gap in the chain from the source bank account to the investment. Sometimes, the funds go to an agent who helps send the funds out from certain countries such as China, Iran, Nigeria, and other countries with currency restrictions. So far, USCIS usually accepts the documents provided when agents are used.

We spend considerable time with our clients to assist with this aspect of the case.

Martin

Regional Center Set Up

Martin Lawler and his team of EB-5 expert lawyers advise developers on structuring of EB-5 Regional Centers; the necessary documents; timing; and advice on the Regional Center’s operation.

We have represented a number of developers to set up Regional Centers for investors to qualify for EB-5 investor green cards. Within four months of approval, one Regional Center has filed over 12 I-526 applications and has many more in the process of investing.

We are also helping set up seven more Regional Centers. We can recommend economists and business plan writers who quickly prepare the necessary documents.

In some cases, investors can invest in the Regional Center’s project directly and the investor’s EB-5 I-526 application filed before the Regional Center is approved by the USCIS. In other cases, investments can be made in the Regional Center while its designation application is pending with the USCIS, but the I-526 individual petition cannot be filed until the Regional Center application is granted.

Regional Centers are complex, expensive and time consuming projects. They involve constant marketing, government compliance, and locating and managing projects. They can be excellent means of raising capital. But they require a substantial commitment. Martin Lawler is pleased to discuss creating a Regional Center with interested developers and financiers.

Department of State Reciprocity Schedule for China Allows for 12 Month, Multiple Entry H Visas

Effective 7/9/10, the Department of State's reciprocity schedule for China has been amended to allow for a 12 month multiple entry visa for H visa applicants. An unreleased Cable related to this change has been forwarded to diplomatic and consular posts.

EB-5 Investor Green Cards

I spoke at an EB-5 investor green card conference in Boston on August 26th. There are now 105 USCIS approved Regional Centers, and about 50 remain on file. Regional Centers are firms approved by the USCIS to take in capital from investors who apply for EB-5 green cards. The capital is invested in various projects from real estate to new energy companies. For details see my web page www.aboutvisas.com.

A Regional Center application I submitted for a client in the Midwest was approved this week.

The USCIS continues to decide applications by developers to create Regional Centers in about 3½ months unless a Request for Evidence is issued. Some can take longer.

The USCIS EB-5 Unit separates green card applications from investors in Regional Centers from those by investors who create their own businesses. USCIS says they give priority to Regional Center cases, but I see both Regional Center and investor created business EB-5 applications being deciding in about the same timeframe.

I next speak on EB-5 investor green cards in Texas on September 23, 2010.

I may hold my own EB-5 seminar in Palo Alto this fall and soon I will hold an EB-5 teleconference monthly. As soon as the date is set I will post it on this blog.

Martin

New Immigration Book

I have co-authored a new book, Immigration Options for Investors and Entrepreneurs published by the American Immigration Lawyers Association. I wrote one chapter of this 688 page treatise. This book for lawyers is the most comprehensive book on E-2 and EB-5 visas to date.

H-1B Visa Numbers

Since May 14, USCIS had counted 8,300 regular H-1Bs, or about 750/week and 3,500 U.S. Master’s numbers, or about 320/week. At current rates, that leaves about 50 weeks of regular numbers and 26 weeks of Master’s numbers. Assuming the Master’s move over to the regulars after their numbers are exhausted, at current rates, all numbers should run out about 40 weeks from now. In sum, there are plenty of H-1B visa numbers available.