RC reauthorization to 12/8/2017, I-924A tips, SEC request denied (Kameli)

Regional Center Program Reauthorization

The EB-5 Regional Center Program authorization is now extended to December 8, 2017 thanks to H.R.601, which the President signed into law yesterday. Washington worked with admirable dispatch this time, cutting and finalizing the deal all within one week and nearly a month ahead of the September 30th deadline.

The law is hard to read, but for those who like to confirm things personally here’s the relevant language for regional center program extension. H.R. 601 “Continuing Appropriations Act, 2018 and Supplemental Appropriations for Disaster Relief Requirements Act, 2017”  Division D Section 101 (PDF page 11) provides appropriations for “continuing projects or activities…for which appropriations, funds, or other authority were made available in the following appropriations Acts: … (6) The Department of Homeland Security Appropriations Act, 2017 (division F of Public Law 115–31), except section 310.” The previous regional center program authorization is in Public Law 115-31 Division F Section 542 (PDF page 298), so it’s one of the continuing activities that’s extended by H.R. 601 Division D Section 101. (And to go back another step, the language in PL 115-31(F)542 refers back to Section 610(b) of the Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Act, 1993 (Public Law 102-395) page 47, which established the regional center program.) H.R. 601 Division D Section 106 (PDF page 13) further specifies that:

Unless otherwise provided for in this Act or in the applicable appropriations Act for fiscal year 2018, appropriations and funds made available and authority granted pursuant to this Act shall be available until whichever of the following first occurs:
(1) the enactment into law of an appropriation for any project or activity provided for in this Act;
(2) the enactment into law of the applicable appropriations Act for fiscal year 2018 without any provision for such project or activity; or
(3) December 8, 2017.

The language in Section 106 is a good reminder that “extended to December 8” doesn’t mean “guaranteed to remain unchanged until December 8.” Congress will reportedly turn its attention to immigration issues in the next couple months, and they could come up with legislation before December that affects multiple visa categories including EB-5.

I-924A Filing Tips
I’m not sure what changed, since I don’t work directly with I-924A, but yesterday USCIS published a new version of the Form I-924A Filing Tips page.

SEC Request Denied (Kameli)
When the SEC files a complaint, it’s easy for the public to just assume that the defendant is guilty as charged and there won’t be any more to the story but determining punishment. Even worse, USCIS tends to assume this and has been known to deny and revoke investor petitions and terminate regional centers before the SEC cases are concluded. We all need to remember that sometimes the defendant might have a compelling other side of the story, and might not be found guilty. The district court judge overseeing a recent EB-5 case filed by the SEC just found that the SEC “in numerous instances has not presented fully developed arguments to show why defendants’ actions violated securities laws.” The judge’s memorandum opinion, which considers the defendants’ side of the story, is linked at the end of the article Senior living developer avoids EB-5 ban, receivership (September 7, 2017). For the SEC’s version of events see SEC v. Seyed Taher Kameli, et al., Civil Action No. 17-cv-04686 (June 22, 2017). The article SEC Suffers One of its First Major Losses in EB-5 Realm (September 12, 2017) summarizes the issues.

2018 Update: The SEC v. Kameli case continues, however. The SEC came back with an amended complaint filed on January 29, 2018.

About Suzanne (www.lucidtext.com)
Suzanne Lazicki is a business plan writer, EB-5 expert, and founder of Lucid Professional Writing. Contact me at suzanne@lucidtext.com (626) 660-4030.

4 Responses to RC reauthorization to 12/8/2017, I-924A tips, SEC request denied (Kameli)

  1. Federico Carnovale says:

    Hello, been following your blog closely, I noticed that 2 days ago USCIS updated their processing time for EB-5, however the currency date hasn’t changed since the last update in August and is still stuck at 22 November 2015. What is your understanding of this?

    • Here are my hypotheses about the IPO Processing Time report as of July 2017:
      — There was a filing surge in Fall 2015, with 6,277 Form I-526 filed from October to December 2015 according to IPO data. With such a high volume of petitions, IPO processing will naturally advance relatively slowly through the dates from October to December 2015. Then things should speed up dramatically for awhile, since only 848 I-526 petitions were filed from January to March 2016, and 1,513 petitions in the following quarter.
      — IPO may have temporarily prioritized I-829 adjudication in July, since the report shows almost three months of I-829 processed while little to no movement on I-526 or I-924. This would make some sense, since IPO has been most behind on I-829 (with dates back in 2014). Now that I-829 dates are at least in 2015, maybe I-526 will get more attention.

      FYI here is my spreadsheet for tracking trends: http://www.dropbox.com/s/dfa4ifgop1vhm63/IPO%20Times%20Dates.xlsx?dl=0

      • Federico Carnovale says:

        Thank you so much for all the amazing work you do. Your blog truly helped me make sense of this complicated process. A bit of a more selfish question if you don’t mind, with a submission date of December 15 2015 what do you believe would be a realistic timeframe for adjudication?

      • That’s a hard question. So many variables! I set up a forum for EB-5 investors to share info on processing times (http://eb5.freeforums.net/), and you may be interested to log on and review the trends and factors they’ve noted.

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