More EB-5 AAO Decisions
April 4, 2011 5 Comments
The USCIS website has posted several more 2010 Administrative Appeals Office decisions in the EB-5 category.
Feb182010_11B7203 to Feb182010_13B7203 and Feb182010_15B7203 are additional denials related to the Capital Area Regional Center Watergate Hotel project, which I described in an earlier blog post. These cases offer interesting insight into the official understanding of “material change,” TEA designation, acceptable investment terms for regional centers, and acceptable use of EB-5 capital.
Feb182010_14B7203 and Jul082010_01B7203 are new decisions on I-829 petitions for stand-alone EB-5 investments. The first case involves investment in an existing restaurant, and treats the issue of what constitutes a “new” commercial enterprise and the necessity of a wholly-owned subsidiary relationship between the “new commercial enterprise” and the “job-creating entity.” The July decision involves investment in an existing hotel, and discusses source of funds documentation required when the EB-5 funds come from a gift. Both decisions trace failure to demonstrate job creation to faults in the I-526 business plan — a good reminder to invest thought and experience in getting the business plan done well.
Don’t bother reading the following, which are mis-categorized or very brief: Mar292010_02D7101 (though this one is kind of entertaining: a petitioner explaining that he hasn’t met his Chinese finance due to his fear of high bridges and flying), Aug032010_01D7101 to Aug032010_03D7101, Mar082010_01B7203, May212010_01B7203 (cases withdrawn), Aug042010_01D7101, Aug052010_01D7101, Aug052010_02D7101 (misfiled L-1).
I have, by the way, compiled a log of EB-5-related AAO decisions from 2009 and 2010, tabulating the issues involved in each case. And if you’re very nice to me, I might share.
EB-5 Updates 
Do you know how long it takes for cases filed at the Dallas Texas Center for EB5. I filed as an individual investor more than 4 months ago and still havent received any thing – not even a case receipt number.
Thanks for you help
Oh no, I’m so sorry to hear that you filed your case at the Texas Service Center! As of January 2009, all EB-5 cases must be filed at the California Service Center. The USCIS website says that “For a 30-day period that began on Jan. 9 and ends Feb. 9, 2009, EB-5 related petitions and applications mailed to USCIS headquarters or the Texas Service Center will be forwarded to the California Service Center. After February 9, EB-5 petitions and applications received at an incorrect filing location will be rejected and returned with instructions to re-file at the correct address.” Since you haven’t received your petition back I would guess that it has just disappeared, since they will certainly not forward it for you, and you will have to re-file. I am really terribly sorry. (http://www.uscis.gov/portal/site/uscis/menuitem.5af9bb95919f35e66f614176543f6d1a/?vgnextoid=848cb172e7bce110VgnVCM1000004718190aRCRD&vgnextchannel=c94e6d26d17df110VgnVCM1000004718190aRCRD)
Hello. This is a great resource! I am doing some research on some direct EB-5 investment. I started my research on regional centers a little over a month ago. Is there any way you could please send me your list of AAO decisions that you have compiled? I am a recent law school grad and am trying to familiarize myself as much with the potential issues in direct EB-5 investment. So far I have only come across the four main precedent cases as well as some other summaries from the early 2000’s posted on this website. Any help you can provide will greatly be appreciated!
Sam, my page https://blog.lucidtext.com/2596/aao-decisions-page/ includes a link to my Excel list of AAO decisions as well as summaries of the decisions specifically related to Regional Centers.
Thank you Suzanne. Wow there are a lot more cases!