• About Us
  • Activity
  • Advertising
  • Books
  • Business
  • Contact
  • Dashboard
  • EB5
  • Entertainment
  • feedback
  • Forgot Your Password?
  • Government
  • Home
  • Home 20723
  • Interviews
  • Login
  • Members
  • Meme generator
  • National
  • Nevada
  • Nevada News and Views
  • Newsmax
  • NN&V Ads
  • Opinion
  • Pick a New Password
  • Politics
  • Polls
  • Privacy Policy
  • Profile
  • Recent comments by me
  • Recent comments on my posts
  • Register
  • Submit post
  • Subscribe
  • Subscription Confirmation
  • Survey
  • Survey
  • Terms of Service
  • Today’s Top 10
  • Travel
  • Travel
  • Travel
  • Welcome!
  • Yop Poll Archive
Nevada News and Views
  • About Us
  • Contact
  • More
    • Opinion
  • Facebook

  • Twitter

  • Pinterest

  • RSS

Opinion

Foreign investors file suit against hotel owner over alleged EB-5 scam

Foreign investors file suit against hotel owner over alleged EB-5 scam
Chuck Muth
May 5, 2016

(Jena Tesse Fox | Hotel Management) – Last year, Congress extended the the EB-5 program—which grants foreigners a green card for themselves and their families if they invest at least $500,000 or $1 million (depending on the area) in a business that creates or preserves at least 10 jobs for U.S citizens or permanent residents—until September 30, 2016 with no changes.

That extension was controversial, as the program had come under scrutiny with federal auditors, noting that the program is vulnerable to abuse and fraud. There was good reason for concern: In 2013, the Securities and Exchange Commission sued the developer of the the O’Hare Hotel and Convention Center, accusing Anshoo Sethi of scamming more than 250 EB-5 investors, most of them from China.

The program has reared its head again in a new hotel-related case. Developers of a hotel and rental cottage project (as well as a biomedical research facility) in northern Vermont have been accused of misusing hundreds of millions of dollars from green card-seeking investors, perpetuating a Ponzi-like scheme for eight years.

Last month, the federal Securities and Exchange Commission and the state of Vermont accused Ariel Quiros—owner of the Jay Peak ski resort—and the resort’s president of misusing more than half of nearly $400 million raised from foreign investors for the hotel and other projects.

Civil complaints also claim that Quiros and his cohorts stole $50 million of investor funds for personal use, including the purchase of the Jay Peak and Burke Mountain ski resorts. Quiros has been served with a class-action lawsuit filed by a Jay Peak investor in Miami federal court. Investor Alexandre Daccache filed the lawsuit in an attempt to recover the money “misused, commingled, and stolen by Quiros and [Bill] Stenger with the assistance of Raymond James [Financial] and [Joel] Burstein” for all the investors, according to court documents. Daccache, a Brazilian citizen, invested $500,000 with the accused in August 2010, and paid $50,000 in administrative fees.

Jay Peak and Q Burke Mountain Ski Resort are in federal receivership, under the control of Michael Goldberg, a court-appointed lawyer, who expects that both resorts and a new hotel that has not yet opened, will have to be sold.

Prev postNext post

Related Items
Opinion
May 5, 2016
Chuck Muth

Related Items

More in Opinion

Governors ask Biden for ‘honest, accurate’ information on illegal immigration

The Center SquareOctober 4, 2023
Read More

Amodei Statement on Debt Ceiling Bill

Chuck MuthJune 1, 2023
Read More

Tark: Trans “Rights” … and Wrongs

Chuck MuthMay 26, 2023
Read More

Stone: The Truth About AB 250: Will Patients Really Benefit?

NN&V StaffMay 26, 2023
Read More

“Ungrateful Miscreants”: Miller, Segerblom Insult Local Small Business Owners

NN&V StaffMay 24, 2023
Read More

Quarter-Million Dollar Ad Campaign Targets Nevada Legislators for Trapping Hispanic Families in Unsafe Schools

NN&V StaffMay 22, 2023
Read More
Scroll for more
Tap

Subscribe Free By Email

Looking for the best in breaking news and conservative views? Let Chuck do all the work for you! Subscribe to his FREE "Muth's Truths" e-newsletter.

* indicates required
Nevada News and Views
Nevada News & Views is an educational project of Citizen Outreach Foundation, a non-partisan IRS-approved 501(c)(3) organization. It is not associated or affiliated with any political party or group. Nevada News & Views is accessible by the public at no cost. It funds its operations through tax-deductible contributions from donors and supporters and does not accept government money or grants.

TAGS

Featured Article Muths truth

Copyright © 2023 Citizen Outreach | Maintained by VirtualAlly

Fiore: Congratulations President Trump!
Sen. Heller Considers Run For Governor In 2018