The EB-5 immigrant investor programme is soon expected to be revitalised as investors will once again be able to apply to receive their green cards and immigrate to the United States by way of making a $500,000 investment. The success of the biggest lawsuit in the modern history of the EB-5 industry will come as great news for families who have been impatiently waiting to take advantage of the reduced investment amount.
Prior to the implementation of the EB-5 Modernization Rule by the Department of Homeland Security in 2019, the required investment amount for the EB-5 programme was at $500,000, meaning that an investor and his/her qualifying dependents, namely spouse and unmarried children under the age of 21, could apply to receive their US residency and green cards at that amount. In 2019, the acting secretary of the Department of Homeland Security (DHS) under the Trump administration, Kevin McAleenan, increased the required investment amount to $900,000. In December 2020, a case challenging the EB-5 Modernization Rule was filed by the Behring Regional Center requesting a federal court to block its implementation on the basis that Kevin McAleenan unlawfully served as the acting secretary of the DHS.
The case is currently before US Magistrate Judge Jacqueline Scott Corley who has implied in various hearings pertaining to the case that she is leaning towards invalidating the EB-5 Modernization Rule and thereby bringing back the investment amount to $500,000.
Although the current acting secretary of DHS, Alejandro Mayorkas, filed a statement with the federal court ratifying the price increase, Judge Corley announced at a hearing held last week that her reading of the Federal Vacancies Reform Act does not permit Mayorkas to ratify the acts of McAleenan given that McAleenan did not have the authority to make the EB-5 rule change in the first place. While Judge Corley is yet to give her ruling on the matter, her line of questioning and assertions throughout the proceedings, such as her statement that “the wrong person took the position of the secretary”, highly indicate that she is likely to rule in favour of invalidating the 2019 rule and thereby reduce the required investment amount back to $500,000.
While the reduction of the investment amount back to $500,000 will come as great news to be celebrated, those seeking to participate in the programme must act now before the investment amount is once again increased by the DHS. Once the reduction is announced, there will be a swarm of applications to catch the brief window of opportunity to invest at $500,000, meaning that the better projects will be sold out and oversubscribed. Hence, for those seeking to participate, it is best to begin the process of document collection as soon as possible and to reserve a project spot.
The American Legal Center, a top immigration consultancy firm based in Dubai, helps individuals and families take a step towards their goal of achieving the American dream by serving as active guides to their clients undertaking the EB-5 program. Given the uncertainty surrounding the capital investment amount remaining at $500,000, the US licensed lawyers and professionals at The American Legal Center are urging those interested in immigrating to the US to act now and are readily available to assist all those seeking expert advice on immigrating to the United States by way of making an investment in the US economy.