Documents: Feds considered shutting down Vt. EB-5 program

Documents: Feds considered shutting down Vt. EB-5 program

EB-5 Visa, EB5 Visa, EB-5 Investment

There are new details from documents linked to a fraud scandal at Jay Peak. They show the feds thought about shutting down the state's entire EB-5 program.

The communications between the state and the federal government were released Wednesday to VTDigger, which went to court to get them.

VTDigger learned that federal immigration officials considered closing the state's EB-5 regional center over concerns about project oversight at Jay Peak. The center is responsible for promoting EB-5 programs in Vermont and the Jay Peak expansion was the first of the Ariel Quiros-Bill Stenger projects to be approved. The documents show the red flags first surfaced in 2012 under the Shumlin administration. That spring, consulting firm Rapid USA warned the state but its concerns went unheeded. Instead, VTDigger says the state worked to discredit Rapid USA. Then that fall, Bill Stenger announced the $500 million Newport redevelopment plan, flanked by the governor and Vermont's congressional delegation.

That redevelopment never happened, but Rapid USA's concerns became a big part of the Securities and Exchange Commission's allegations against Stenger and Jay Peak's owner, Ariel Quiros.

The Shumlin administration had refused to release the records, but current Governor Phil Scott reversed that and also indicated to VTDigger that he plans to release more in the future as part of an effort to restore public trust in the EB-5 program.


Litigation Cases


  • Vermont

Securities Disclaimer

This website is for informational purposes only and does not constitute an offer or solicitation to sell shares or securities. Any such offer or solicitation will be made only by means of an investment's confidential Offering Memorandum and in accordance with the terms of all applicable securities and other laws. This website does not constitute or form part of, and should not be construed as, any offer for sale or subscription of, or any invitation to offer to buy or subscribe for, any securities, nor should it or any part of it form the basis of, or be relied on in any connection with, any contract or commitment whatsoever. LLC and its affiliates expressly disclaim any and all responsibility for any direct or consequential loss or damage of any kind whatsoever arising directly or indirectly from: (i) reliance on any information contained in the website, (ii) any error, omission or inaccuracy in any such information or (iii) any action resulting therefrom.