EB-5 Regional Center Operators Filed A Lawsuit Against USCIS

In a lawsuit filed against USCIS, the EB-5 trade association Invest in the USA (IIUSA) has joined five other EB-5 Regional Center operators.

On May 25, a lawsuit was filed in the District Court for the District of Columbia challenging USCIS' unilateral de-authorization of more than 600 designated regional centers under the EB-5 Reform and Integrity Act of 2022 (RIA).

It also challenges the USCIS interpretation of the RIA that requires every regional center to apply anew for designation and receive approval before commencing operations.

The 5 regional centers – Golden Gate Global, EB5 Capital, Civitas Capital Group, CanAm Enterprises, and Pine State Regional Center – and IIUSA contend that USCIS's position is contrary to the plain meaning of the RIA and thwarts Congressional intent in enacting the RIA.

"We are putting our different business interests aside and joining forces to reach the common goal of protecting our clients' rights and continuing to provide needed capital for economic development projects," the group said in a joint statement.

"Through this action, we seek to protect the viability of this highly successful economic development and job-creating program, the regional centers that facilitate the program, and the foreign investors who participate in the program.

"There is consensus within the EB-5 industry that Congress intended to have the Regional Center program back in business as soon as the RIA was in effect on May 15, 2022," the group said.

Regional centers allow a foreign entrepreneur to make indirect investments under the EB-5 Immigrant Investor Program to become eligible for a green card.

The required capital investment amounts are the same for direct and regional center investments—that is, $1.8 million, which is reduced to $900,000 within a targeted employment area (TEA).

"We believe a global ruling in the Behring case could serve the industry and is worthy of our support," the group added in their joint statement.