The EB-5 Programme for the US has often invited a lot of attention, for the wrong and the right reasons. But at a time when getting lawful residency in the nation is becoming harder and more difficult, the US Investor Visa, through the EB-5 Programme, could be the guaranteed method to get it at least for those who have deep pockets, can make an investment of $500,000 in the American economy, and create at least 10 jobs for the local people there in.
Now let’s check some Frequently Asked Questions (FAQs) & Their Answers on the subject to ferret out more on the subject!
EB-5 Some Frequently Asked Questions & Answers (FAQs)
- How did EB-5 begin, what are the major conditions?
Washington DC and the U.S. Citizenship and Immigration Services (USCIS) crafted the popular EB-5 Programme way back in 1990 to kindle the national economy via capital investment and employment generation.
Aspirants, keen to get Permanent Residency (PR) in the nation, may make the cut in case they make an investment of not less than $1 million in a new business mission that makes not less than 10 jobs. The threshold nose-dives to $500,000 for investments made in the nation’s rural or high-unemployment regions.
In order to submit an application for the visa, it is required that the would-be investors present a petition, called I-526 to the US Immigration.
In case the USCIS sanctions the application, as per the arrangement, the investor has to submit an application to the State Department for the visa which permits PR on a conditional ground. After an investment project fulfills the different terms & conditions, the investor receives PR or the Green Card. The entire procedure may take up a maximum of 2 years.
The administration puts an upper limit on the figure of the Green Cards given under the scheme at 10,000 every Financial Year (FY) even as a maximum of 7% of that total can come from any one particular nation.
Significantly, the investor’s spouse and single kids below 21 years also have the eligibility for residency under the scheme.
- EB-5 Visa Programme How popular it is & who are the users?
As per the US Government, through the last FY, the concerned immigration officials obtained 12,165 I-526 petitions — down 14% from 2016 even as a combined total of 11,321 applications received approval.
At present, the visa is obtainable to the aspirants from all nations, barring those from the nations presently under the travel ban introduced by the incumbent Trump government.
As per the information shared by the immigration officials, over 82% of the petitions submitted in 2016 — the latest year obtainable with a breakdown by nation arrived from the mainland China. The 7% limit on any one nationality has resulted in a huge buildup of the candidates from China.
At 3% of the total, the next main candidate pools came from Vietnam trailed by India at 2.7% even as those were up significantly from the preceding year.
Despite the fact that the Investor Visa is obtainable only to the affluent, as per some experts, the Trump government’s moves to cut down lawful movement are only boosting its reputation in those nations.
Allegedly, India especially represented an uneven share of the H-1B Visas, which have become harder to renew as the US administration has launched a more strong vetting procedure for skilled Computer Programmers.
Allegedly, a jump of 60% has been witnessed in the interest exhibited in the US Investor Visa Scheme among those staying in the different nations of Arab, comprising those from India.
- What are the economic effects of the EB-5 Scheme?
According to some researchers, the visa plan generated over $11.2 billion in capital investment from 2014 to 2015 for the various development missions through the US.
The same also generated over 207,000 US work opportunities or 4% of the private segment job growth from 2014 to 2015 and added $33 billion-plus to the Gross Domestic Product (GDP) and $4 billion in tax proceeds.
- What’s the administration’s opinion of the scheme?
There is no dearth of those who do not like the programme.
Over the course of time, the scheme has been subjected to many charges of hoodwinking the overseas investors and squandering the funds that should have otherwise gone to the different employment-creating ventures.
For instance, a December 2016 lawsuit, filed by a group, reportedly claimed that a Newport Beach lawyer squandered not less than $9.5 million from the 131 investors who wished to take part in the scheme.
In a similar incident in the month June 2016, an organization reportedly took legal action against a couple from Orange County, claiming they embezzled millions of dollars that were supposed to develop a cancer treatment center. Then in 2015, the SEC reportedly prosecuted a Redlands doctor, claiming he and a subordinate squandered 50% of the $20 million they raised from the different investors from China keen to get PR in the US.
A few legislators have reportedly suggested adding protections, to make the scheme safer for the overseas investors while some others have wondered if some of the missions being backed by the EB-5 investors would have taken place at any rate, with local investment.
Some legislators have also reportedly advocated boosting the investment condition to $1.25 million, or $925,000 in the economically weaker or rural regions.