Tuesday, June 22, 2021 - United States Magistrate Judge Jacqueline Scott Corley of the U.S. Northern District Court of California issued an order today voiding the EB-5 Immigrant Investor Program Modernization Final Rule that became effective November 21, 2019. The Rule increased the minimum investment amount from $500,000 to $900,000. With the Rule no longer in effect, the minimum investment amount for the EB-5 Visa Program has been lowered to $500,000. But the bigger question remains, how long will lower investment amounts last? The EB-5 Regional Center Program is set to expire on June 30, 2021. While advocacy efforts are ongoing, this change in judicial amounts may stall negotiations in Congress to extend/renew the program. Clients will only have until June 29, 2021, to make a deposit, complete legal work, and file with USCIS (6 days).
The Case
The Judge found the USCIS Final Rule to be procedurally deficient. Improperly appointed, former Acting Homeland Security Secretary Kevin McAleenan was not lawfully serving in his position when he promulgated the Final Rule in July 2019, therefore the rule is not valid.
Next
The Judge, however, did not grant the plaintiffs an injunction barring current and properly appointed, Homeland Security Secretary Alejandro Mayorkas from reinstating the rule. Secretary Mayorkas has already attempted to ratify the regulations (The judge found this did not cure the deficiency), so he will likely seek to appeal and/or reinstate the rule, returning the minimum investment to $900,000. During the appeal, USCIS could seek a stay while the appeal is ongoing, which would temporarily return the minimum investment to $900,000 and work toward reinstating the rule through the proper rulemaking process returning the investment amount from $500,000 to $900,000 permanently.
The Opportunity
This opportunity could be short. Investors must be prepared to act fast. Contact one of our representatives or email info@firstpathway.com.