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The program is placed in a really odd and non-helpful administrative place for the stimulation of global investment in the United States. We are offering away also much for as well tiny of an investment.

The local centers, with their half-million plans, basically damaged the much more reasonable million-dollar component of the EB-5 program. Third, such programs, if we have them in any way, as they do in Australia, should have to do with creating service entities, not passive investments. It must be regarding creating genuine jobs, not clarify computations about the indirect development of tasks, which is currently part of the regulation.


Perhaps that is one of the reasons that it has failed every year to reach the legal goal of 10,000 financial investment visas. Fifth, the Regional Facility Program is inherently clumsy, and the program is too loaded with middlemen, both public and personal. The program has even more than its share of rumors, which I will get into later on if anybody is interested.


This is a company that loves to say yes to candidates, but as the table in my statement shows, USCIS police officers have far more problem with EB-5 applications than others. I believe that is something that nobody has really spoken about much. EB5 Regional Center Program. There are high rates of internal denials in this program and forever reason

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Seventh, in this program visas go to people who might not obtain them differently and to people whose planned investment is actually much less, according to the Federal Book, than the ordinary mean total assets of all American households in 2007. Let me expand on one of my monitorings.


My price quote based upon the financiers' eco-friendly card applications filed 2 years after the first financial investment-- these are the strong ones that continue to be and are accepted. This is 2009-- was that they had regarding $191 million confirmed-- that is my quote. USCIS does not supply the sort of information that we might use on this.


For every $100 of enhanced foreign financial investment that year, the EB program added one penny. Under a a lot more unsteady statistical base, the preliminary applications of prospective immigrant financiers, USCIS is informing here journalists that the level of investment in the just-concluded year had to do with $1.2 billion. Let us approve that.

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Thank you for paying attention to me. Chairman Leahy. He is the head of the company's migration practice group.

Divine acted as Chief Advice of the United States Citizenship and Immigration Providers from July 2004 up until November 2006, the year in which he was Performing Director, and after that Acting Replacement Director. He has functioned thoroughly with the EB-5 program secretive practice. He was elected, as I comprehend, vice president of the Association to Invest in U.S.A., the nationwide industry organization of regional.


Divine, we are thrilled to have you below. Please go in advance, sir. STATEMENT OF ROBERT C. DIVINE, LAWYER, BAKER, DONELSON, BEARMAN, CALDWELL, AND BERKOWITZ, P.C., CHATTANOOGA, TENNESSEE, AND VICE HEAD OF STATE, BUY THE USA (IIUSA) Mr. Divine. Thanks, Mr. Chairman, Legislator Grassley, and others. Thanks for having me.


At a lot of, if all 10,000 slots were made use of, it would be 1 percent of the immigration every year to the United States. It is not near that yet, yet it is growing and getting toward that. Specifically as USCIS, the agency that looks after the program, has been making the regulations clearer and the processes a lot more logical and clear for individuals who are arranging investments and for the financiers that are investing, even more people have agreed and able to place initiative and cash into the process to find good jobs and develop them, and then extra financiers have actually wanted to spend their money and take the risk and make use of the cash to develop the tasks that is the factor of the program.

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These tasks do not wait about for life, and USCIS recognizes that and are attempting to speed the program, speed the procedure - EB5 Regional Center Program. That does not suggest that they are unwinding their examination, and, in truth, they prepare to deny applications that are not qualifying. And they do so, as was stated

The local center component of the program is not. It is part of an appropriations bill that was passed in 1992, and ever since that program has been expanded five times for 19 years. It is time for it to be permanent, and it requires to be done now and not nearer to the date of expiry in September.


The process takes an excellent while to develop a project and after that to obtain the investors authorized. And they do not desire their money moving through until they have been approved. And the specter of the expiry of this Regional Center Program in September is already preventing the development of jobs.

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I would love to clarify that the Regional Center Program is not the very same as the half-million-dollar point. The concept of half a million or a million is a feature of the normal EB-5 regulation that belongs to the code. It just is a truth that the majority of the regional centers that are merging investments have actually established those instead of high joblessness or in backwoods where fifty percent- million-dollar investments are allowed, and that makes sense.