So Jared Kushner’s family gives a presentation in China several weeks ago, promoting their new real estate project, and the company sponsoring the event, Qiaowai, makes a few questionable statements about the access investors will have to the presidency, due to Kushner’s name being attached.
Things like that tend to catch the attention of lawmakers, and this was no different.
The chairman of the Judiciary Committee, Sen. Chuck Grassley (R-Iowa) is asking that these “potentially fraudulent” claims be investigated.
“Given all of these concerns, a closer look at Qiaowai Group and the U.S. Immigration Fund are clearly warranted, as reports suggest both companies have long employed questionable practices,” Grassley wrote.
Qiaowai and Kushner Companies are looking for investors to help finance a pair of luxury apartment buildings as part of the EB-5 Immigrant Investor Visa Program. That program offers visas in exchange for a $500,000 investment in a U.S. business.
The Chinese firm boasted about its connections to President Trump via Kushner and promised clients that Trump would ensure their visas were approved, according to The New York Times.
If this is the case, it could potentially be another instance of someone in the Trump family enriching themselves through the office they hold.
Grassley wrote a letter to the Department of Homeland Security and the Security and Exchange Commission on May 25, seeking to have the issue addressed.
As the senator pointed out in the letter, Qiaowai made the statement to investors, regarding this project, that there was “no chance” it could fail. They also stated that the president would make sure it came through.
After a Reuters report, those statements were deleted from the company website.
A portion of Grassley’s letter reads:
Such guarantees are problematic for several reasons, and the SEC and USCIS have coordinated to halt similar cases of investment fraud in the past.6 It is a fundamental rule of the EB-5 program that an applicant’s investment must remain “at risk” up to the end of the alien’s conditional permanent resident status, and a “guaranteed” investment fails this basic EB-5 test7 ; if Qiaowai is in fact guaranteeing the safety of the investment principal, all related EB-5 petitions should be rejected by USCIS. In addition, a petition submitted on the basis of such a guarantee seems to constitute misrepresentation of “a material fact . . . to procure . . . a visa . . . or admission to the United States or other benefit,” 8 rendering the petitioner inadmissible to the United States pursuant to section 212(a)(6)(C)(i) of the Immigration and Nationality Act. 9 Further, by guaranteeing green cards and assuring that funds are “safe,” Qiaowai appears to be in violation of laws governing the offer and sale of securities, such as antifraud provisions of the federal securities laws. 10 Specifically, Rule 10b-5 states that it is unlawful “for any person, directly or indirectly. . . to make any untrue statement of a material fact. . . in connection with the purchase or sale of any security.”
To be clear, Jared Kushner was not at the early May conference where the project was touted to wealthy Chinese investors. His sister, Nicole Meyer was, however, and she not-so-subtly invoked her brother’s name while presenting the idea of this project.
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