Shaken Chinese Investors Could Shy From New EB-5 Projects

Law360, Dallas (February 19, 2013, 7:04 PM EST) -- The U.S. Securities and Exchange Commission’s recent shutdown of a hotel investment scheme tied to the EB-5 immigration program has sent shockwaves through foreign investors, particularly in China, and could threaten the viability of new real estate developments, attorneys say.

In a complaint unsealed Feb. 8, the SEC alleges Chicago businessman Anshoo R. Sethi used the cover of the Immigrant Investor Program, known as EB-5, to lure 250 mostly Chinese investors seeking U.S. residency to commit $145 million for a hotel project that never existed, and...
To view the full article, register now.