Latest news with #EB5
Indianapolis Star
29-07-2025
- Business
- Indianapolis Star
Diego Morales' companion on India trip promoted EB-5 visas to investors while being paid by state
One of Secretary of State Diego Morales' companions on his eyebrow-raising March trip to India — who was being paid by taxpayers for a no-bid business consulting contract with Morales' office — appeared to use part of the overseas trip to promote his own private business interests, advertising a 'fast-track route to U.S. residency' to would-be foreign investors. Hamilton County Republican Party Treasurer Raju Chinthala's consulting firm, Chinthala and Associates, was paid $8,000 monthly through a 10-month contract with the secretary of state's office to 'investigate and coordinate international business promotion engagements and initiatives' and help advise Morales' office. The former congressional candidate's contract covered the period of the India trip, which Morales' office described as an economic development trip, and Chinthala was pictured at meetings and events with Morales throughout the duration of the trip. More: Secretary of State Diego Morales gets flak for overseas travel. Is he breaking any rules? At the same time, Chinthala appeared to spend at least part of the trip seeking foreign investment of at least $800,000 to fund an unspecified Fairfield Inn & Suites hotel project back in Indiana. He advertised the controversial EB-5 visa program that President Trump's administration has proposed scrapping in favor of his "Gold Card" idea as part of his larger transformation of the U.S. immigration system. "I'll be in Hyderabad until March 29 if you'd like to meet to discuss #EB5," Chinthala posted on social media during the March trip. Participation in the EB-5 visa program has dropped sharply in recent years and the U.S. government has said the program presents "unique fraud and national security risks." While the India trip occurred months ago, Morales' frequent non-taxpayer-funded travels have continued to be the subject of bipartisan scrutiny at the Statehouse, amid questions about how such trips are funded. He recently spent 15 minutes defending himself during a routine motor vehicle meeting. This particular trip was initially privately funded by an undisclosed business, Morales has said, but he previously told Fort Wayne radio station WOWO that he paid back the funder amid public scrutiny. IndyStar's request for records associated with the trip's expenses were denied by the office because it "was not sponsored, organized, arranged or paid for by the office or the state." But during the trip, Morales was referred to as Indiana's secretary of state while speaking at two tech conferences, and met with several foreign dignitaries including the mayor of Hyderabad, members of Parliament and governor of Telangana. Meanwhile, it's unclear how Chinthala divided his time during the trip between state business and personal ventures. His contract with the state specified he was supposed to put forth about 20 hours' of effort per week on state business. He said he has "never used state resources to conduct any EB-5-related activities" and said he did not discuss EB-5 visas with Morales or his staff. Chinthala, who also founded the Indiana-India Business Council, described the India trip as 'primarily a personal visit' but acknowledged that he 'did assist in the planning and coordination of the secretary's conference attendance and other various meetings.' "At all times, I have remained mindful of the importance of transparency and integrity in public service," Chinthala said. "The responsibilities I undertook for the state and my personal efforts have remained clearly separated." Morales' office told IndyStar that he "was not aware or involved in any conversations related to the promotion of EB-5 visas." Still, the arrangement raised concerns with two government ethics experts contacted by IndyStar. While government contractors often work on behalf of other clients and businesses, there's ethical considerations about doing so at the same time. Indiana government employees, for example, are required to avoid outside employment that would conflict with state property, time or information, or use their position in state government to secure privileges that wouldn't be available to the average citizen. 'It's a bit like double-dipping,' said Julia Vaughn, director of government watchdog group Common Cause Indiana. 'It appears the secretary of state likes to surround himself with people who certainly aren't afraid to mix personal business with the state's business. You can't serve two masters well. It's not an appropriate setup to ensure the citizens get what (Chinthala) is getting paid for.' Morales' office pushed back on that. "The contractor was not exclusively employed by the office, or subject to restrictions on other activities or engagements, or privy to confidential information," spokeswoman Lindsey Eaton said in a statement. Chinthala started promoting the EB-5 efforts in late February. A now-deactivated Facebook page for an entity called Elite EB-5 Advisors described itself as a Carmel-based 'advisory service' where Chinthala advertises he can help investors 'bypass long wait times' and 'avoid delays' in getting U.S. residency. 'Let me guide you through this life-changing opportunity,' the entity posted Feb. 20, along with Chinthala's contact information. Chinthala confirmed he "unpublished" the page following IndyStar's inquiries. Scrutiny on the EB-5 program has ramped up in recent years before Trump proposed scrapping it. In fact, Indiana's former Secretary of State Connie Lawson in 2016 issued a set of warning signs for potential foreign investors, saying "no investment promoter should ever promise a visa or permanent residency in exchange for an EB-5 investment," as the program doesn't guarantee a visa will be issued, and that "claims of guaranteed returns or low/no investment risk are classic red flags." Chinthala's social media posts include promotion of a "expedited green card" and a "total payout of $992,000 after five years" in exchange for an $800,000 investment. One of the posts tells investors to 'HURRY!' to make an investment in a hotel project in Indiana. The post states there's a $60,000 administration fee and more than $51,000 in immigration and attorney fees. It's unclear which Fairfield Inn and Suites project for which the investment was sought. Chinthala did not respond to that question, but one of his social media posts says that the hotel is being built by a 'proven sponsor' experienced in building multiple hotels. There are at least four Fairfield Inn and Suites projects being built in Indiana, including in Lebanon, Crown Point, Crawfordsville and near Whitestown. Elite EB-5 Advisors said it guides 'high-net-worth' individuals and families through the EB-5 visa process, ensuring a 'smooth and successful' path to U.S. residency. When contacted by IndyStar about his EB-5 promotion activities, Chinthala described his work to IndyStar as 'limited, educational guidance to individuals inquiring about the EB-5 visa program.' He said it's not affiliated with Chinthala & Associates, is not a registered business entity and has had no financial activity or revenue. 'My involvement has been informational in nature and intended to help connect interested parties with appropriate licensed professionals,' he said. Chinthala hasn't appeared to promote the EB-5 investment opportunity on social media after the conclusion of the India trip. "I discontinued those educational efforts after my India trip, as there was no interest from potential investors," he told IndyStar via email. Meanwhile, it's unclear how much of the proposed scope of services that Chinthala's consulting firm was supposed to deliver to the secretary of state's office ever came to fruition. He inked his state consulting contract last fall and it expired June 30. The firm's contract said Chinthala was supposed to 'lead establishment of a non-profit Indiana International business promotion foundation.' But Morales' office said it had not pursued that proposal. 'It was only a proposal of services from Chinthala & Associates that could have been provided,' Eaton, Morales' spokeswoman, told IndyStar. Chinthala's contract also included the development of a 'business directory and community engagement online application program." The office did not directly respond when asked if that was completed, but said 'deliverables reflect the contract's intent to elevate Indiana's business environment and connect Hoosier businesses to international opportunities.' 'Since the start of the collaboration with Chinthala & Associates, the Indiana secretary of state's office has benefitted from strategic advisement and hands-on support aimed at strengthening our business outreach and international engagement efforts,' Eaton told IndyStar. 'The engagement included knowledge transfer and coaching on business development and business constituent services.' Chinthala, in his statement said he was 'honored to have served as a contractor to the Indiana secretary of state's office from September 2024 through June 2025.' 'During this engagement, I provided strategic support in several key areas, including business outreach, relationship-building with chambers of commerce, consulates, and coordination with sister city organizations to advance Indiana's engagement efforts,' Chinthala said. Though two ethics experts contacted by IndyStar flagged potential issues with the situation, neither alleged it ran afoul of Indiana code. Abraham Schwab, a Purdue University Fort Wayne professor who is an expert in applied ethics, said "in an ideal world" a state contractor wouldn't be working on his private business interests while being paid by the state and traveling with a state official. Arrangements like this have the potential to erode the public's trust in state government, he said, but Schwab pointed out that the practice appears to be common throughout state government. For example, one consequence of having a part-time legislature means that elected officials are often working on behalf of their own financial interests while simultaneously serving the state, Schwab said, which has created other ethical issues in the past. "Just because it's common, doesn't mean it's correct," Schwab said. However, Chinthala pushed back on "any implication or narrative suggesting misuse of public office or a conflict of interest." That is "entirely false," he said. "I remain committed to upholding the highest standards of ethics, transparency and integrity in all my professional and public service efforts," Chinthala said.
Indianapolis Star
29-07-2025
- Business
- Indianapolis Star
Diego Morales' companion on India trip promoted EB-5 visas to investors while being paid by state
One of Secretary of State Diego Morales' companions on his eyebrow-raising March trip to India — who was being paid by taxpayers for a no-bid business consulting contract with Morales' office — appeared to use part of the overseas trip to promote his own private business interests, advertising a 'fast-track route to U.S. residency' to would-be foreign investors. Hamilton County Republican Party Treasurer Raju Chinthala's consulting firm, Chinthala and Associates, was paid $8,000 monthly through a 10-month contract with the secretary of state's office to 'investigate and coordinate international business promotion engagements and initiatives' and help advise Morales' office. The former congressional candidate's contract covered the period of the India trip, which Morales' office described as an economic development trip, and Chinthala was pictured at meetings and events with Morales throughout the duration of the trip. More: Secretary of State Diego Morales gets flak for overseas travel. Is he breaking any rules? At the same time, Chinthala appeared to spend at least part of the trip seeking foreign investment of at least $800,000 to fund an unspecified Fairfield Inn & Suites hotel project back in Indiana. He advertised the controversial EB-5 visa program that President Trump's administration has proposed scrapping in favor of his "Gold Card" idea as part of his larger transformation of the U.S. immigration system. "I'll be in Hyderabad until March 29 if you'd like to meet to discuss #EB5," Chinthala posted on social media during the March trip. Participation in the EB-5 visa program has dropped sharply in recent years and the U.S. government has said the program presents "unique fraud and national security risks." While the India trip occurred months ago, Morales' frequent non-taxpayer-funded travels have continued to be the subject of bipartisan scrutiny at the Statehouse, amid questions about how such trips are funded. He recently spent 15 minutes defending himself during a routine motor vehicle meeting. This particular trip was initially privately funded by an undisclosed business, Morales has said, but he previously told Fort Wayne radio station WOWO that he paid back the funder amid public scrutiny. IndyStar's request for records associated with the trip's expenses were denied by the office because it "was not sponsored, organized, arranged or paid for by the office or the state." But during the trip, Morales was referred to as Indiana's secretary of state while speaking at two tech conferences, and met with several foreign dignitaries including the mayor of Hyderabad, members of Parliament and governor of Telangana. Meanwhile, it's unclear how Chinthala divided his time during the trip between state business and personal ventures. His contract with the state specified he was supposed to put forth about 20 hours' of effort per week on state business. He said he has "never used state resources to conduct any EB-5-related activities" and said he did not discuss EB-5 visas with Morales or his staff. Chinthala, who also founded the Indiana-India Business Council, described the India trip as 'primarily a personal visit' but acknowledged that he 'did assist in the planning and coordination of the secretary's conference attendance and other various meetings.' "At all times, I have remained mindful of the importance of transparency and integrity in public service," Chinthala said. "The responsibilities I undertook for the state and my personal efforts have remained clearly separated." Morales' office told IndyStar that he "was not aware or involved in any conversations related to the promotion of EB-5 visas." Still, the arrangement raised concerns with two government ethics experts contacted by IndyStar. While government contractors often work on behalf of other clients and businesses, there's ethical considerations about doing so at the same time. Indiana government employees, for example, are required to avoid outside employment that would conflict with state property, time or information, or use their position in state government to secure privileges that wouldn't be available to the average citizen. 'It's a bit like double-dipping,' said Julia Vaughn, director of government watchdog group Common Cause Indiana. 'It appears the secretary of state likes to surround himself with people who certainly aren't afraid to mix personal business with the state's business. You can't serve two masters well. It's not an appropriate setup to ensure the citizens get what (Chinthala) is getting paid for.' Morales' office pushed back on that. "The contractor was not exclusively employed by the office, or subject to restrictions on other activities or engagements, or privy to confidential information," spokeswoman Lindsey Eaton said in a statement. Chinthala started promoting the EB-5 efforts in late February. A now-deactivated Facebook page for an entity called Elite EB-5 Advisors described itself as a Carmel-based 'advisory service' where Chinthala advertises he can help investors 'bypass long wait times' and 'avoid delays' in getting U.S. residency. 'Let me guide you through this life-changing opportunity,' the entity posted Feb. 20, along with Chinthala's contact information. Chinthala confirmed he "unpublished" the page following IndyStar's inquiries. Scrutiny on the EB-5 program has ramped up in recent years before Trump proposed scrapping it. In fact, Indiana's former Secretary of State Connie Lawson in 2016 issued a set of warning signs for potential foreign investors, saying "no investment promoter should ever promise a visa or permanent residency in exchange for an EB-5 investment," as the program doesn't guarantee a visa will be issued, and that "claims of guaranteed returns or low/no investment risk are classic red flags." Chinthala's social media posts include promotion of a "expedited green card" and a "total payout of $992,000 after five years" in exchange for an $800,000 investment. One of the posts tells investors to 'HURRY!' to make an investment in a hotel project in Indiana. The post states there's a $60,000 administration fee and more than $51,000 in immigration and attorney fees. It's unclear which Fairfield Inn and Suites project for which the investment was sought. Chinthala did not respond to that question, but one of his social media posts says that the hotel is being built by a 'proven sponsor' experienced in building multiple hotels. There are at least four Fairfield Inn and Suites projects being built in Indiana, including in Lebanon, Crown Point, Crawfordsville and near Whitestown. Elite EB-5 Advisors said it guides 'high-net-worth' individuals and families through the EB-5 visa process, ensuring a 'smooth and successful' path to U.S. residency. When contacted by IndyStar about his EB-5 promotion activities, Chinthala described his work to IndyStar as 'limited, educational guidance to individuals inquiring about the EB-5 visa program.' He said it's not affiliated with Chinthala & Associates, is not a registered business entity and has had no financial activity or revenue. 'My involvement has been informational in nature and intended to help connect interested parties with appropriate licensed professionals,' he said. Chinthala hasn't appeared to promote the EB-5 investment opportunity on social media after the conclusion of the India trip. "I discontinued those educational efforts after my India trip, as there was no interest from potential investors," he told IndyStar via email. Meanwhile, it's unclear how much of the proposed scope of services that Chinthala's consulting firm was supposed to deliver to the secretary of state's office ever came to fruition. He inked his state consulting contract last fall and it expired June 30. The firm's contract said Chinthala was supposed to 'lead establishment of a non-profit Indiana International business promotion foundation.' But Morales' office said it had not pursued that proposal. 'It was only a proposal of services from Chinthala & Associates that could have been provided,' Eaton, Morales' spokeswoman, told IndyStar. Chinthala's contract also included the development of a 'business directory and community engagement online application program." The office did not directly respond when asked if that was completed, but said 'deliverables reflect the contract's intent to elevate Indiana's business environment and connect Hoosier businesses to international opportunities.' 'Since the start of the collaboration with Chinthala & Associates, the Indiana secretary of state's office has benefitted from strategic advisement and hands-on support aimed at strengthening our business outreach and international engagement efforts,' Eaton told IndyStar. 'The engagement included knowledge transfer and coaching on business development and business constituent services.' Chinthala, in his statement said he was 'honored to have served as a contractor to the Indiana secretary of state's office from September 2024 through June 2025.' 'During this engagement, I provided strategic support in several key areas, including business outreach, relationship-building with chambers of commerce, consulates, and coordination with sister city organizations to advance Indiana's engagement efforts,' Chinthala said. Though two ethics experts contacted by IndyStar flagged potential issues with the situation, neither alleged it ran afoul of Indiana code. Abraham Schwab, a Purdue University Fort Wayne professor who is an expert in applied ethics, said "in an ideal world" a state contractor wouldn't be working on his private business interests while being paid by the state and traveling with a state official. Arrangements like this have the potential to erode the public's trust in state government, he said, but Schwab pointed out that the practice appears to be common throughout state government. For example, one consequence of having a part-time legislature means that elected officials are often working on behalf of their own financial interests while simultaneously serving the state, Schwab said, which has created other ethical issues in the past. "Just because it's common, doesn't mean it's correct," Schwab said. However, Chinthala pushed back on "any implication or narrative suggesting misuse of public office or a conflict of interest." That is "entirely false," he said. "I remain committed to upholding the highest standards of ethics, transparency and integrity in all my professional and public service efforts," Chinthala said.
The Independent
07-07-2025
- Business
- The Independent
The problem with Trump's $5m ‘gold card' visa
Donald Trump proposed a "Trump Card" offering a fast track to legal status for wealthy immigrants investing $5 million, with a prototype shown in April and a website launched in June. However, legal experts have expressed significant scepticism about the card's legality, asserting that the president cannot unilaterally create new visa categories or alter tax laws without an act of Congress. The initiative, which Treasury Secretary Howard Lutnick suggested could generate up to $1 trillion, aims to replace or supplement the existing EB-5 visa programme. It would controversially exempt holders from federal income tax on foreign earnings. Despite over 70,000 expressions of interest, the feasibility of the "Trump Card" is questioned due to legal hurdles and the limited pool of potential applicants, many of whom already reside in the United States.
Business Standard
19-06-2025
- Business
- Business Standard
Indian Families Rush to Secure US Green Cards Before $5 Million Hike Kicks In
VMPL Mumbai (Maharashtra) [India], June 19: With the cost of a U.S. Green Card investment visa set to rise dramatically under proposed policy changes, Indian investors are moving quickly to file under the current EB5 programme, according to Deepesh Deshmukh, Director of DSquare Global Pvt. Ltd. and an expert in U.S. immigration solutions. The EB5 visa programme, which currently allows foreign nationals to gain U.S. permanent residency by investing $800,000 (approximately ₹7 crore) and creating ten American jobs, may soon become significantly more expensive. U.S. President Donald Trump is proposing to raise the investment threshold to $5 million, a change that would price out thousands of hopeful applicants, especially from India, where interest in U.S. migration remains high. "We are already seeing a surge in demand," said Deepesh during a recent podcast interview on Finance with Sharan - The One Percent Show. "Indian families who were earlier on the fence are now accelerating their applications. Many of them understand this could be their last affordable chance at securing a U.S. Green Card." A key point of discussion during the interview was the availability of collateral-free loans of up to $300,000, sourced from within the U.S. itself, to help applicants based in the U. S. meet the EB5 investment requirement. These loans come with a typical annual interest rate of 5.95 percent. Deepesh explained that many Indians, including those without the full investment amount, are taking this route to give their children a chance at a better future. "I've seen families with less than ₹1 crore in total savings take out loans to apply," he said. "For them, it's not just about moving to the U.S. It's about long-term security, education, and opportunities." The U.S. caps EB5 visas at 10,000 per year globally, with only 700 allocated per country. That restriction, combined with high demand from Indian applicants, could mean long wait times if investors miss the current window. "There's already a long waiting period just to get a U.S. tourist visa," said Deepesh. "Imagine the queue once people realise this $800,000 route may disappear. We are advising serious applicants to begin paperwork within the next three months if they want to qualify under the existing rules." When asked why affluent Indians are increasingly choosing the EB5 route, Deepesh pointed to quality of life as a primary driver. "It's not about abandoning India. It's about what the U.S. offers -- clean air, working infrastructure, and a transparent system. You pay taxes, and you see the results." He also clarified a common misconception: applying for a U.S. Green Card does not require Indians to give up their citizenship. "You retain your Indian passport until you decide to apply for U.S. citizenship, usually after five years," he said. One of the podcast's most notable revelations was that middle-income families are also using the EB5 programme, thanks to flexible financial arrangements. Deepesh mentioned cases where even families with partial funds have managed to secure the investment by using loan assistance from Banks, friends, and family. The EB5 visa grants permanent residency, unlike temporary options such as student visas or H1B work permits, which are limited by quotas and job status. "With a Green Card, your stay in the U.S. doesn't depend on a job offer or employer sponsorship," Deepesh said. "It's called permanent residency for a reason. It gives families the peace of mind they're looking for." Deepesh advised prospective applicants not to delay. "Even if you're not ready with the full amount, begin the legal process now. The rules could change anytime, and once the new threshold is in place, it's unlikely to be reversed."
Mint
19-06-2025
- Business
- Mint
Indian Families Rush to Secure U.S. Green Cards Before $5 Million Hike Kicks In
Mumbai, India, June 19, 2025: With the cost of a U.S. Green Card investment visa set to rise dramatically under proposed policy changes, Indian investors are moving quickly to file under the current EB5 programme, according to Deepesh Deshmukh, Director of DSquare Global Pvt. Ltd. and an expert in U.S. immigration solutions. The EB5 visa programme, which currently allows foreign nationals to gain U.S. permanent residency by investing $800,000 (approximately ₹ 7 crore) and creating ten American jobs, may soon become significantly more expensive. U.S. President Donald Trump is proposing to raise the investment threshold to $5 million, a change that would price out thousands of hopeful applicants, especially from India, where interest in U.S. migration remains high. 'We are already seeing a surge in demand,' said Deepesh during a recent podcast interview on Finance with Sharan - The One Percent Show. 'Indian families who were earlier on the fence are now accelerating their applications. Many of them understand this could be their last affordable chance at securing a U.S. Green Card.' A key point of discussion during the interview was the availability of collateral-free loans of up to $300,000, sourced from within the U.S. itself, to help applicants based in the U. S. meet the EB5 investment requirement. These loans come with a typical annual interest rate of 5.95 percent. Deepesh explained that many Indians, including those without the full investment amount, are taking this route to give their children a chance at a better future. 'I've seen families with less than ₹ 1 crore in total savings take out loans to apply,' he said. 'For them, it's not just about moving to the U.S. It's about long-term security, education, and opportunities.' The U.S. caps EB5 visas at 10,000 per year globally, with only 700 allocated per country. That restriction, combined with high demand from Indian applicants, could mean long wait times if investors miss the current window. 'There's already a long waiting period just to get a U.S. tourist visa,' said Deepesh. 'Imagine the queue once people realise this $800,000 route may disappear. We are advising serious applicants to begin paperwork within the next three months if they want to qualify under the existing rules.' When asked why affluent Indians are increasingly choosing the EB5 route, Deepesh pointed to quality of life as a primary driver. 'It's not about abandoning India. It's about what the U.S. offers — clean air, working infrastructure, and a transparent system. You pay taxes, and you see the results.' He also clarified a common misconception: applying for a U.S. Green Card does not require Indians to give up their citizenship. 'You retain your Indian passport until you decide to apply for U.S. citizenship, usually after five years,' he said. One of the podcast's most notable revelations was that middle-income families are also using the EB5 programme, thanks to flexible financial arrangements. Deepesh mentioned cases where even families with partial funds have managed to secure the investment by using loan assistance from Banks, friends, and family. The EB5 visa grants permanent residency, unlike temporary options such as student visas or H1B work permits, which are limited by quotas and job status. 'With a Green Card, your stay in the U.S. doesn't depend on a job offer or employer sponsorship,' Deepesh said. 'It's called permanent residency for a reason. It gives families the peace of mind they're looking for.' Deepesh advised prospective applicants not to delay. 'Even if you're not ready with the full amount, begin the legal process now. The rules could change anytime, and once the new threshold is in place, it's unlikely to be reversed.'
