The United States Citizenship and Immigration Services (USCIS) has disclosed information regarding audits of EB-5 Regional Centers. As per the newly introduced provisions under section 203(b)(5)(E)(vii) by the EB-5 Reform and Integrity Act of 2022 (RIA) within the Immigration and Nationality Act, regional centers must undergo audits at least once every five years. These audits aim to scrutinize documentation maintenance by the regional centers and the flow of immigrant investor capital into capital investment projects. The audits are intended to bolster the integrity of the EB-5 program by verifying information provided in regional center applications, certifications, and associated investor petitions.
During site visits conducted as part of audits, if a regional center representative declines participation, USCIS will abort the visit and complete the audit report using available data, noting the cancellation at the request of the regional center. Failure to consent to an audit or deliberate obstruction may result in the termination of the regional center’s designation. However, negative audit results generally do not have direct adverse consequences for EB-5-associated entities or petitioners unless there is noncompliance or obstruction.
Starting April 23, USCIS will typically adhere to Generally Accepted Government Auditing Standards (Yellow Book) for auditing EB-5 regional centers. These standards provide guidelines for auditors and audit organizations to ensure the verification of information provided by designated regional centers and assess their compliance with applicable laws to maintain eligibility.
USCIS has launched a new EB-5 Regional Center Audits webpage, offering information on the auditing process, the role of the audit team, preparation guidelines, and participation instructions for regional centers.
Source: USCIS
