DFR releases over 400,000 pages of records related to EB-5 Jay Peak fraud

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Jay Peak Resort

These EB-5 funded condos, shown in April 2016, were left unfinished as money ran out on the project related to the Jay Peak fraud case. They've since been completed as the receiver has since recouped money and completed several projects. VBM photo.

Vermont Business Magazine Governor Phil Scott today announced that the Department of Financial Regulation (DFR) has released 443,070 pages of records related to the EB-5 and Jay Peak fraud, which occurred between 2008-2016. These newly-released documents are available for download at eb5.vermont.gov/public-records.(link is external) Additionally, approximately 250,000 more pages of DFR records will be released and made available on the EB-5 website in the coming weeks.

In March 2017, Governor Scott directed the release of all records discoverable in the fraud enforcement action against Ariel Quiros and William Stenger. Upon settlement of the enforcement action, review of those documents began in order to remove personally identifiable information – such as social security numbers and bank accounts.

“My Administration has pushed for the public disclosure of Jay Peak documents given the significant public interest in the largest fraud cases in Vermont’s history,” said Governor Scott. “I share the frustration of Vermonters who have been waiting for the release of documents related to this matter. This is an important step forward in our efforts to provide transparency and I will continue to advocate for the release of documents previously exempted from disclosure. I appreciate the work the Department of Financial Regulation has done to investigate and facilitate the prosecution of the fraud and to carry out this disclosure effort.”

“We are pleased to continue our progress in implementing the Governor’s disclosure plan,” said DFR Commissioner Michael Pieciak. “Releasing these documents and those that will follow is critical in restoring the public’s trust in state government.” 

In 2014, DFR began an investigation into the fraud at Jay Peak, which ultimately led to federal and state action. In April 2016, the Securities and Exchange Commission and the State of Vermont charged the developers of Jay Peak Resort with 52 counts of fraud and the misuse of $200 million in foreign investor funds.

https://vermontbiz.com/news/2019/march/28/dfr-releases-over-400000-pages-records-related-eb-5-jay-peak-fraud