Dallas attorney Shae Armstrong says the government’s troubled EB-5 program — an increasingly controversial initiative that offers wealthy foreigners a visa in exchange for a $500,000 investment in the U.S. — can be fixed.
“I’m still holding out hope,” said Armstrong, who represents clients involved in EB-5, or Employment-Based Fifth Preference, projects. “We’re so close to getting it right.”
Not everyone shares Armstrong’s optimism about the program, created by Congress in 1990 to encourage foreign investment in America’s underdeveloped rural areas and poor urban neighborhoods.
Sen. Dianne Feinstein has called EB-5, which fast-tracks U.S. citizenship for investors and their families, “deeply unfair” and “prone to fraud and abuse.” The California Democrat urged Congress to pull the EB-5 plug in December’s budget deal — but the program survived with the help of powerful supporters, including the Senate’s No. 2 Republican, John Cornyn of Texas, and the No. 3 Democrat, Chuck Schumer of New York.
Still, the Department of Homeland Security program has come under increased scrutiny in recent weeks amid news reports of fraud and ramped-up investigations by the U.S. Securities and Exchange Commission, which is cracking down on shady development projects that have left some foreign investors empty-handed.
Read more by clicking below image