Category: News

A passport isn’t just a necessity for a two-week break away; it’s as much about a person’s freedom, their right to live and work in other places and in many instances, a better way of life.

The newly updated Henley Passport Index highlights how far the power of the U.S. and U.K. passport has declined year-on-year (and how far passports issued by APAC countries have risen).

The pandemic has shown that a weak passport isn’t the preserve of less-advanced countries anymore, that poor decision-making and electoral decisions can change the power of a passport in the space of a few months–this has been evidenced by the rush in 2020 of Americans buying a second passport and the rush by British people to apply for second EU passports in the aftermath of Brexit.

As more people become able to work from anywhere, the Covid-19 pandemic has shown that the possibility of a second passport offers a way to continue to maintain the travel freedoms once expected of a birth passport for many American and British people. Interestingly, the most powerful passport in the world in 2021 is Japanese; one of about 50 countries in the world that doesn’t allow a person to hold more than one nationality.

The world’s most powerful passports

The annual Henley Passport Index takes data from the International Air Travel Association (IATA) and covers 199 passports and 227 travel destinations–it examines how many countries a passport holder can access without needing a visa. As reported by CNN, it is updated in real time through the year, as and when visa policy changes come into effect. Temporary Covid-19 travel restrictions have not been taken into account.

1. Japan (191 destinations)

2. Singapore (190)

3. South Korea, Germany (189)

4. Italy, Finland, Spain, Luxembourg (188)

5. Denmark, Austria (187)

6. Sweden, France, Portugal, Netherlands, Ireland (186)

7. Switzerland, United States, United Kingdom, Norway, Belgium, New Zealand (185)

8. Greece, Malta, Czech Republic, Australia (184)

9. Canada (183)

10. Hungary (181)

The U.S. steadily declining, APAC countries increasing in power

The Henley Index has been measured for the past 16 years and originally, it was most of the EU countries, the U.K. and the U.S. which held dominance and were the most powerful, allowing their citizens unimpeded access to more countries around the world. However, there is a trend now for APAC countries to be the most powerful (the 13 countries of the Asia-Pacific region).

Over the past seven years, the U.S. has fallen from top place to number seven in 2021. With the U.K., the power of its passport is steadily declining year-on-year. It is the third consecutive year that Japan has held the top spot, either as a tie with Singapore, or on its own.

In the short-term, Henley believes that the challenges associated with Covid-19 won’t help the U.S. or U.K. either. Whilst both countries are in seventh place on the list with access to 185 countries, during the pandemic they are presently reduced to just 75 countries (U.S.) and fewer than 70 for the U.K.

As APAC countries recover better from the pandemic, Henley forecasts that these passports will continue to be the most powerful, short-term, too.

Weak passports are now a problem for everyone

The biggest thing to become apparent from Covid-19 is that a passport’s richness isn’t related just to the economic clout of a nation; no one is immune. Whereas once, citizens of less advanced countries with a lack of social freedom or poor economic development would have found themselves with a low-ranking passport.

Increasingly, it is also a country’s failure of risk management, health readiness, and monitoring and detection that will cause it to be demoted in power and desirability. “In other words, global immobility is no longer solely the plight of citizens of less advanced countries.”

As Henley points out, Covid-19 has made millions of people, digital nomads, able to travel from anywhere. Greg Lindsay, Director of Applied Research at NewCities, says “the moniker (of digital nomad) now effectively describes anyone with a Covid-induced mandate to work from anywhere—and thousands, if not millions, are pursuing pandemic arbitrage in their choice of destinations. The evidence is clear, including record numbers of Americans seeking secondary citizenship in 2020, and Britons rushing to secure EU access ahead of Brexit.”

The worst passports to hold
Several countries around the world have visa-free or visa-on-arrival access to fewer than 40 countries. These include:

North Korea (39 destinations)
Libya, Nepal (38)
Palestinian territories (37)
Somalia, Yemen (33)
Pakistan (32)
Syria (29)
Iraq (28)
Afghanistan (26)

Passports contain lots of information, possibly health

During a global pandemic, the power of someone’s passport takes on heightened meaning–many now contain biometric data that detail personal characteristics and measurements.

In some cases, physical passports themselves are no longer necessary to pass borders and people can pass through control points by scanning personal body parts such as eyes or fingerprints–Eurostar started scanning passenger faces in June 2020 instead of asking for travel documents, Emirates uses iris scans to check-in at Dubai airport, Beijing’s Daxing airport uses facial scans as a default passport and Paris’ Charles de Gaulles and Orly airports are planning to be up and running with biometric capability by 2024 for the Paris Olympics.

Some industry insiders believe that passports will increasingly come to include health information allowing ‘safe travel’ across foreign lands in the truest sense, with the healthiest people passing freely across borders. Armand Arton, CEO of Arton Capital believes strongly that this will be the case, saying that medical information in passports would help control the spread of disease, could flag immunization status, enable the tracking and tracing of Covid-19 in real-time and allow for immediate restrictions. The issues of data protection and civil liberties however, pose obstacles to increased implementation.

There are other passport indexes, which calculate the power of passports based on other criteria; Arton Capital’s Passport Index considers 193 United Nations members and six territories — ROC Taiwan, Macau (SAR China), Hong Kong (SAR China), Kosovo, Palestinian Territory and the Vatican. Its 2021 index put Germany at the top.

Source: forbes.com
Published: 10 January 2021

Earlier this year, the World Economic Forum launched an initiative under the “Great Reset”, a (much-criticized) platform for world leaders to discuss the opportunity to shape the recovery. The term “Great Reset” might be a tad much, but what’s certain is that the pandemic is forcing changes in a wide range of industries. In many cases, businesses have been forced to take technological leaps they didn’t expect. Large companies everywhere are investing in technology to automate and improve efficiency.

The investment migration industry is no different. If your company is still working the old way, you might be left behind during the economic recovery. Governments are also trying to follow suit, and part of the funds being pumped into the economy to restart it is aimed at accelerating those trends. The pandemic has inspired many to take a huge leap into the future, whether it’s in green energy or other innovative technologies.

Cubicles are so 2019
In that future, remote work has forged a place for itself, and this may have the biggest effect on the global economy and the immigration industry. Companies worldwide have started downsizing their office space. Given the extra pressure on retail stores and restaurants, many worry we’re heading towards a commercial real estate crash. Whether or not that turns out to be the case, the commercial property market is under severe stress. What we do know is that there will be a huge opportunity to convert commercial space into residential space.

The greatest opportunity for the investment migration industry is rooted in the current urban exodus trend. Thanks to remote working, the necessity to reside in the city where the job is located is reduced. People have an incentive to shed their small city-apartment for a larger house in a less urbanized area. The drop in mortgage rates has intensified this phenomenon.

These developments are likely to shift a sizeable chunk of workers towards locations where the cost of living is more affordable, put downward pressure on salaries, and reinvigorate economic competitiveness. For countries in Europe, the opportunity is substantial. The cost of living disparities between large cities and smaller ones is significant. People fleeing from cities to smaller communities could help usher in a long period of economic growth and restore communities that have struggled for decades with rural exodus.

Investment migration can play a significant part in ushering in this new plan. Even before the pandemic, European countries such as Portugal and Italy were incenting people to buy properties in small towns across the country. Italy launched the “1 euro for a property’’ project, and Portugal will be excluding its principal cities from the real-estate option from its investor visa.

That said, it’s extremely challenging to direct investment towards regions that need it the most. Since interest rates have dropped, there will be an upward effect on property values in hot markets. Many of these markets are in business centers, and rising prices mean higher expenses for local companies. If the increase in expenses is not met by an increase in value, local companies could lose competitiveness on the global stage. This is why rapid and disproportionate surges in property prices will inevitably lead to stagnation or recession down the line. To build a thriving economy, the costs of production need to be kept relatively low and stable, and not at the cost of the everyday worker.

There is a general rule that if the government dumps money into the economy, it will invariably end up in the places that generate the most wealth. This is why, after the 2008 financial crisis, cities like New York and San Francisco thrived but many other communities in America never recovered. Money goes where it can grow the most with the least risk. It’s that simple. Investors don’t invest in small communities because there are better opportunities for returns in global cities.

Rural renaissance
This is why investment migration can play an important role in the European economy. The great benefit of investment migration is that the primary motivation of investors is not return on investment, but residency or citizenship status. It’s not that they don’t care about their money. Rather, they’re willing to assume more risk, to the point of even forfeiting a certain amount of money. That means that a country can potentially direct a massive flow of investment towards riskier ventures that the market would otherwise deem unworthy. This could lead to many outcomes, but I want to zero in on property markets with a seemingly low potential for returns.

More specifically, I’m suggesting the creation of real-estate investor programs that exclusively cater to lower-performing property markets. These programs will help usher in the waves of “remote workers” and foreign investors who buy properties to refurbish and invest in rural communities. The influx of new money from these foreign investors will help bridge the gap and prepare those communities to become more liveable for remote workers. European governments will need to lead with incentives to local workers to facilitate the urban exodus process, but investment migration can play a key role in making all this possible.

The further drop in interest rates has sealed the fate of government bond programs. There is little value to be gained from loaning money at 0% interest unless the immigrant investor agrees to compensate the government for the drop. Cash is king in Europe, since governments will continue to scratch their collective heads to finds ways to repay those loans. Unfortunately, cash for residency is deemed impure by many Western countries. They’re holding themselves to a higher standard even as they pass the 100% debt-to-GDP mark. What is sure is that this flood of government spending to restart the economy will inevitably be followed by a wave of higher taxes and austerity measures. It would be utterly foolish not to seek help in the form of investment migration when the alternative would be capital flight and dehumanizing cuts to social services and welfare.

Source: imidaily.com
Published: 3 January 2021

As Britain prepares to split from the European Union, the father of Prime Minister Boris Johnson appears to be seeking closer ties with the bloc by applying for French citizenship.

Stanley Johnson told broadcaster RTL on Thursday that he was in the process of “reclaiming” his French identity.

“It is not a question of becoming French. If I understand correctly, I am French. My mother was born in France. Her mother was completely French, as was her grandfather,” he told RTL, which said Johnson is putting together a French citizenship request. “So for me it is a question of reclaiming what I already have.”

The elder Johnson, 80, is a former member of the European Parliament who backed remaining in the EU in Britain’s 2016 membership referendum. He has since expressed support for his son as the prime minister led the U.K. out of the bloc.

Once Britain leaves the EU’s economic embrace at 11 p.m. (2300GMT) on Thursday, Britons will lose the automatic right to live and work in the 27 EU countries, but those with dual nationality will still be able to do so.

“I will always be European. That is certain,” Stanley Johnson said. “You cannot tell the English: ‘You are not European.’ Europe is always more than the common market, more than the European Union. But having said that, yes, having a link like that to the European Union is important.”

Source: lufkindailynews.com
Published: 31 December 2020

There is an old saying that goes, “It is better to light one candle, than to curse the darkness.” And there is a lot of darkness around these days. The world is experiencing the worst economic decline since the great depression. Well over 10 million Americans are unemployed. The country needs economic revival, is sinking into debt and could use a lot of new jobs. Of all the options available to America in the area of immigration, the EB-5 investor immigrant program is the one that can best serve as the light in the face of this darkness that has beset us.

Investor Immigration to the Rescue

While investor immigration is not a complete solution for all of America’s problems, for decades now, the U.S. EB-5 program has served the country well by creating jobs and stimulating economic development. Indeed, as a letter from U.S. lawmakers recently pointed out, “Between 2008 and 2015, as the nation struggled with its last economic downturn, the EB-5 Regional Center program was directly responsible for $20.6B in economic investments and creating or saving 731,792 jobs.” Currently each investor who comes to America invests a minimum $ 900,000 U.S. and creates 10 new American jobs under the regional center part of the program, or $ 1.8 million and 10 new American jobs under the direct investment part of the program. It is no secret that investor immigration can be a great stimulus to a country’s economy. For that reason many other countries are competing with America in this field., countries like Great Britain, Canada, Australia, New Zealand, Portugal, Turkey, Malta, Bulgaria, Antigua and St. Kitts and Nevis, just to name a few.

An investor visa program is not a citizenship program. Applicants still must accrue five years of residence in America before they become eligible to apply for U.S. citizenship. Furthermore, they still need to maintain two and a half out of five years of physical presence to be eligible to apply for citizenship.As for the concern of investorsbeing able to buy their way into America, the point to be made is that the EB5 program is not an ‘America-for-sale’ program, it is a ‘jobs-creation-program.’ On top of that, investors have never made up more than just a small fraction of the total number of immigrants who come to the country. Indeed of the approximately one million immigrants who come to America each year, only 10,000 are investors. In fact, often wealthy investors are not attracted to immigrate to America for themselves per se, they are more attracted to immigrate for the sake of their family, especially their children. For them, North America offers better education opportunities, good health care, strong economic prospects, a clean environment and access to large markets. For us, they bring jobs and investment. Most importantly, the program pays for itself.

Public Interest Targeted Projects

Possible modernization of the investor program offers a tremendous opportunity to match significant investment from investors to projects serving a defined public interest. One example of this strategy would be to use foreign investor funds to address the overstretched U.S. infrastructure funding gap of more than $2 trillion needed by 2025. The EB-5 program could help solve the problem at no cost to the taxpayer.

Efforts to Modernize the EB-5 Program

Recently, U.S. Senators Chuck Grassley (R-IA) and Patrick Leahy (D-VT) introduced a bipartisan EB-5 Reform and Integrity Act of 2020 to improve and promote the EB-5 program. Over many years the two senators have tirelessly worked together to strengthen the integrity of the EB5 investor immigration program. The Act ws just the newest iteration of their efforts. There were several key benefits the bill offered:

Key Benefits of the Grassley-Leahy EB-5 Bill

1) A 5-year reauthorization of the program, converting it from a temporary sunsetting program that continually needs to be reauthorized, into a more permanent program.

2) Reasonable reform measures enabling the industry to operate with reasonable oversight. These include third party audits, requiring clear information to be provided to investors about the progress of projects, requiring more definitive records illustrating an investor’s source of funds, and scrutiny for and protections against threats to national security.

3) Good faith Regional Center and New Commercial Enterprise protections.

4) Innocent investor protections for debarred projects including age-out protection for children, priority date retention and use of recovered funds for another investment.

5) No retroactive application to investor petitions.

6) Regional Center oversight under a reasonableness standard.

7) No strict liability of Regional Centers for third party acts.

Congressional Support

At the same time, a bipartisan group of lawmakers from the U.S. House of Representatives expressed their support for the EB-5 Regional Center Program in a letter sent to the Chairwoman and Ranking Member of the House Committee on Appropriations. In their letter, the lawmakers pointed out that, “With the necessary reforms and a long-term reauthorization, it is possible to see more than $9 billion in investment and as many as 300,000 jobs saved or created each year after enactment.” The letter was signed by ten lawmakers including U.S. Representatives Tom O’Halleran (D-AZ-01), Brian Fitzpatrick (R-PA-01), and Dwight Evans (D-PA-03) who led the initiative. It concluded, “We request that you include the EB-5 Regional Center program’s reform and long-term reauthorization in the next appropriation measure.”

Dead End

Neither the Grassley/Leahy bill nor the congressional initiative were successful in changing the terms of the program, although the EB5 program was extended again until June 30th, 2021. In coming to its defence before it was extended, Bob Kraft, president of IIUSA, a national not-for-profit EB-5 association, pointed out that, “Mayors from around the country, including the U.S. Conference of Mayors, trade associations, chambers of commerce, travel organizations, health care organizations, and many others stand with IIUSA to support this reauthorization.” In short, there is a lot of support for the EB5 program and its reform.

What’s Next?

This is not the first congressional rebuff that Grassley and Leahy, or for that matter, the EB-5 investor community have been through. For years efforts to modernize the EB-5 program have been met with defeat. There is wide-spread agreement around the integrity measures the senators are proposing. Unfortunately, Congress is just too tied up to find the time to address the need. But now that the need is at its greatest, maybe under the new administration, the EB-5 program can become the light needed to fend off this Covid-19 economic darkness, at least when it comes to immigration. Let’s hope so.

Source: forbes.com
Published: 24 December 2020

Hundreds of immigrants in France working on the coronavirus frontline have had their service to the country recognised with fast-track citizenship.

The interior ministry invited residents helping with efforts against Covid-19 to apply for accelerated naturalisation.

More than 700 have already been granted citizenship or are in the final stages of receiving it.

They include healthcare professionals, cleaners and shop workers.

Frontline workers around the world have been exposed to Covid-19 at a high rate with many dying from the disease including doctors and nurses.

France is in the top 10 countries worst hit by coronavirus infections, with more than 2.5 million confirmed cases and close to 62,000 deaths.

The expediated citizenship initiative was first announced in September. Seventy-four people have already been granted a French passport and another 693 are in the final stages. A total of 2,890 people have applied so far.

“Health professionals, cleaning ladies, childcare workers, checkout staff: They all proved their commitment to the nation, and it is now the turn of the republic to take a step towards them,” the office of Marlene Schiappa, junior minister for citizenship, said on Tuesday.

Normally a successful applicant must have been resident in France for five years with a stable income and demonstrated integration into French society.

But the government has said frontline Covid workers must only live in France for two years to be eligible for citizenship in recognition of their “great services rendered”.

In 2017 France’s immigrant population was 6.4 million, including a significant number from former colonies including in north and west Africa, but becoming a citizen can be a fraught and slow process. The number of people granted naturalisation is decreasing, with 10% fewer in 2019 than in 2018.

It isn’t the first time that France has recognised bravery and contributions to the nation with citizenship.

In 2018, Malian man Mamoudou Gassama was awarded French citizenship after he was dubbed “spiderman” for rescuing a small boy dangling from a Paris balcony.

Source: bbc.co.uk
Published: 23 December 2020

As a result of recent federal litigation, the COVID-19 pandemic, and the Trump Administration’s efforts to protect U.S. workers and wages, there have been several U.S. immigration developments. This writing will provide an update of some of these recent U.S. immigration developments and the potential impact on U.S. employers and foreign nationals.

U.S. District Court Issues Decision to Set Aside the U.S. Department of Labor’s and U.S. Department of Homeland Security’s H-1B/PERM rules:  The U.S. Department of Labor (DOL) and the U.S. Department of Homeland Security (DHS) issued two interim final rules (IFR) in the last quarter of 2020 that negatively impacted the H-1B and PERM labor certification programs.  Specifically, these rules made it more difficult and costly for U.S. employers to sponsor foreign nationals for the H-1B category or a U.S. Green Card through the PERM labor certification program.  The DOL rule (Strengthening Wage Protections for the Temporary and Permanent Employment of Certain Aliens in the United States) took effect on October 8, 2020 with the DHS rule (Strengthening the H-1B Nonimmigrant Visa Classification Program) scheduled to take effect on December 7, 2020.  The U.S. government moved quickly with these IFRs claiming that the rules were needed to reduce quickly the high unemployment rate caused by the COVID-19 pandemic.  At least three challenges were quickly filed by various consortia against the DOL IFR. The challenge led by the U.S. Chamber of Commerce filed in U.S. District Court in the Northern District of California challenged both the DOL and DHS IFRs on the basis the rules were issued without proper notice and comment to the public, as required under the Administrative Procedures Act (APA) as well as substantive violations on immigration law.  Recently, the U.S. District Court for the Northern District of California in Chamber of Commerce, et al. v. DHS, et al., No. 20-cv-7331 issued a decision in favor of the U.S. Chamber of Commerce’s position and ordered the DHS and DOL rules to be set aside.

The order issued by the U.S. District Court on December 1, 2020, is positive news for U.S. employers that rely on the H-1B program and PERM labor certification programs to attract and retain talent.  The order took effect immediately.

In response to the decision issued by the U.S. District Court, the DOL issued an announcement on December 3, 2020, that provides information to U.S. employers as to the implementation timeframe for technical changes for filing Labor Condition Applications (LCA) in the DOL’s Foreign Labor Application Gateway (FLAG) system and for processing Prevailing Wage Determinations (PWD). The announcement issued by the DOL may be found at https://www.dol.gov/agencies/eta/foreign-labor/news.

Note:  On December 3, 2020, the U.S. District Court for the District of New Jersey issued a preliminary injunction in ITServe Alliance, Inc., at Al, v Scalia,, et al., No. 20-cv-14604 that came to the same conclusion as the decision in Chamber of Commerce, et al. v. DHS, et al., No. 20-cv-7331 with respect to the DOL’s IFR. However, in the ITSERVE Alliance case, the preliminary injunction applies to only the plaintiffs of that case.

Despite wins in both cases, though, it is possible that the Trump Administration will move quickly to review the comments that were submitted on the IFRs and seek to issue variations of both as Final Rules before its term end in January.

U.S. Senate Passes Amended Version of the “Fairness for High-Skilled Immigrants Act of 2020”:  The Fairness for High-Skilled Immigrants Act of 2020 was introduced on February 7, 2019. Versions of this bill have been introduced many times in the past.  The bill was intended to amend the Immigration and Nationality Act (INA) to eliminate the per-country numerical limitations for employment-based immigrant visas and increase the per-country limitations for family-sponsored immigrants on a phased-in basis. The House of Representatives passed its version of the bill 365-65 July 10^th, 2019.  Senators were long unable to advance the bill because of demands to add various extraneous provisions to the bill.  . However, on December 2, 2020, lawmakers came to an agreement, and the U.S. Senate passed the bill by Unanimous Consent.  The Senate passed bill included a range of new H-1B restrictions sought by Senator Dick Durbin as well as caps on the number of immigrant visas that could go to H-1B visa holders and restrictions of certain Chinese nationals that was sought by Senator Rick Scott.  Some of the provisions of the bill passed by the U.S. Senate include the following:

For so called 50-50 employers:

• Beginning 180 days after enactment, U.S. employers with 50 or more employees in the U.S., and whose U.S. workforce consists of at least 50% H-1B and other nonimmigrant workers, will be unable to sponsor foreign nationals for the H-1B category.  Note: This restriction would not apply to renewal applications filed on behalf of current H-1B employees or H-1B employees seeking to change employers. In addition, the Senate’s bill would apply the “single employer” definition from the Internal Revenue Code (IRC) when calculating whether 50% of the H-1B employer’s labor force is comprised of nonimmigrant workers.  Under this IRC definition, an employer may be an entity or multiple entities of a controlled group of companies.

For All Employers:

• Establishes additional recruitment and posting requirements for all H-1B sponsoring employers;
• Grants federal agencies new investigatory and enforcement authority over the H-1B program;
• Imposes a filing fee in order to submit a Labor Condition Application (LCA) in order to fund an “H-1B Administration, Oversight, Investigation, and Enforcement Account;”
• Eliminates the B-1 in lieu of H-1 program (Note:  There is already a U.S. Department of State proposed rule to eliminate this category).

Several provisions of the Senate bill are apparently unacceptable to key House Members so it is unlikely that they will consider voting it.  This means that the House and Senate will need to reach agreement on a compromise measure and pass it in both chambers of Congress before this session of Congress ends in several weeks.  If they do so, it is unclear whether President Trump will sign it into law.

If a compromise bill were to be enacted and contain the H-1B provisions, the fact the law would not take effect for 180 days after enactment (with respect to the above provision affecting H-1B employers) likely means the legislation would not have an impact on U.S. employers with respect to the upcoming H-1B registration/lottery selection process for fiscal year 2022 (October 1, 2021 to September 30, 2022).  As the bill is under debate, the final version remains unknown.  Our office will continue to monitor this legislative activity and provide information as it becomes available.

U.S. Court of Appeals for the Ninth Circuit Upholds Limited Preliminary Injunctions of the DHS Public Charge Rule:  On December 2, 2020, the U.S. Court of Appeals for the Ninth Circuit upheld preliminary injunctions issued by the U.S. District Court for the Northern District of California and the U.S. District Court for the Eastern District of Washington against the DHS’s Public Charge Rule.  However, the order issued by the U.S. Court of Appeals was limited to plaintiff states, which include California, District of Columbia, Maine, Oregon, Pennsylvania, Washington, Colorado, Delaware, Illinois, Maryland, Massachusetts, Minnesota, Nevada, New Jersey, New Mexico, Rhode Island, and Hawaii. The U.S. Citizenship and Immigration Services (USCIS) will need to issue an announcement and/or further guidance with respect to how it wishes to implement the injunction that is limited to the above plaintiff states. It is anticipated that the U.S. government will contest this decision.

DHS Proposes Rule to Create Wage-Based Selection Process for H-1B Visas: On November 2, 2020, DHS published a proposed rule in the Federal Register that would change the selection process for cap-subject H-1B visas.  Under the proposed rule, the random process used for years to select foreign nationals for the opportunity to be sponsored for the H-1B category would be replaced with a wage-based selection process. Under this new process, preference would be given to those foreign nationals that are offered the highest salaries by U.S. employers.  DHS has indicated that under this new selection process only those foreign nationals being offered a Level 3 or Level 4 (highest) salary would likely be chosen.  The proposed rule is currently in the notice and comment period of the rule making process, and it is presumed that the Trump Administration will likely publish a version of the rule as Final before leaving in late January.  It is almost certain that the final rule would be challenged by those in the business, health care, and academic communities, since there is no legal authority that permits the U.S. government to allocate H-1B visas based on how much money the H-1B worker will be paid.  It appears unlikely that the incoming Biden administration would support this rule change.

Note:  U.S. employers interested in registering a foreign national for the H-1B lottery selection process for the 2022 fiscal year (October 1, 2021 to September 30, 2022) may want to begin to take steps to identify those foreign nationals it would like to register at this time, since the registration window will likely begin in early March 2021. If you need assistance registering a foreign national(s) for the H-1B lottery selection process in the future, or have questions about the lottery selection process, or the proposed rule that may change the lottery selection process, please contact an immigration attorney or Fakhoury Global Immigration (info@employmentimmigration.com).

U.S. Government Files Complaint Against Facebook, Inc. for Violating Regulations in Connection with the PERM Labor Certification Green Card Program:  On December 3, 2020, the U.S. Justice Department’s Civil Rights Division filed a complaint against Facebook, Inc. (hereinafter “Facebook”), claiming Facebook did not engage in good faith recruitment when it tested the U.S. labor market to try to determine if there were qualified and willing U.S. workers available to fill permanent, full time position(s), which formed the basis for Green Card sponsorship for foreign nationals.  (Note:  The filing of a PERM labor application with the DOL is the first step in the U.S. Green Card process for many foreign nationals.)  Some of the allegations in the complaint include the following:

• Facebook required U.S. worker applicants to mail in resumes to the company, as opposed to using an electronic application process, which the company normally uses;
• Facebook did not advertise on its website for the Green Card positions, even though it normally advertises all of its positions on its website;
• Facebook diverted U.S. worker applicants to other positions within the company, during the recruitment process, so Facebook could move forward with Green Card sponsorship for foreign nationals.
• When placing print newspaper advertising, and the newspaper offered to advertise the Green Card position(s) on electronic web-sites or electronic sources (free of charge), Facebook declined the offer.

U.S. Department of State (DOS) Announces Phased-In Resumption of Routine Visa Services: DOS has announced a phased-in resumption of routine immigrant and nonimmigrant visa services on a post-by-post basis, subject to local COVID-19 conditions. Please note that while the U.S. Department of State has indicated that embassies and consulates have resumed visa services in some cases, many embassies and consulates continue to be closed or offer limited visa services, as a result of the surge of COVID-19.  Emergency visas appointments continue to be difficult to obtain at certain embassies and consulates.

DHS Extends Flexible COVID-19 Form I-9 Policy: DHS has extended its flexible COVID-19 policy with respect to complying with the physical presence requirement for Form I-9 (Employment Eligibility Verification) verification purposes.  The policy has been extended through December 31, 2020. The policy only applies to those employers and workplaces that are operating remotely.  If there are workers who are physically present at a work location, in-person verification of identity and employment eligibility documentation for Form I-9 purposes is still required.

E-Verify participants who meet the criteria and choose the remote inspection option should continue to follow current guidance.

USCIS Announces a Revised Naturalization Civics Test: On November 13, 2020, the USCIS announced plans to implement a revised version of the U.S. naturalization civics test. The revised test includes more questions that test the applicant’s understanding of U.S. history and civics and covers a wide variety of topics that provide the applicant with more opportunities to learn about the United States as part of the test preparation process.  It is anticipated that with the additional questions, interviews in connection with an applicant’s Application for Naturalization (Form N-400) will now take longer.  The changes have also been met with strong criticism from many different camps.

U.S. Department of State Revises Guidance with Respect to Presidential Proclamation 10052 Restricting H-1B, L-1, H-2B, and J-1 Visas as a Result of  Court Order in National Association of Manufacturers (NAM) v. DHS: The Department of State (DOS) issued guidance as a result of a court order in National Association of Manufacturers (NAM) v. Department of Homeland Security. The revised DOS guidance clarified the Court’s October 1, 2020 order enjoining the U.S. government from enforcing a Trump Administration ban on H, L, and J nonimmigrants under Section 2 of Presidential Proclamation 10052. Applicants are now considered covered by the NAM court’s order, as long as the petitioner or sponsoring entity is a member of one of the named plaintiff association.  Note:  This Presidential Proclamation is set to expire on December 31, 2020, unless extended by President Trump.

U.S. Northern and Southern U.S. Land Borders with Canada and Mexico to Remain Closed to All but Essential Travel through December 21, 2020:  The U.S. has restricted land border entry into the U.S. to all but essential travel since March 2020 as a result of the COVID-19 pandemic.  It is anticipated will be extended for another 30 days through January 21, 2021, as it has been extended each month since March 2020.  The land border entry restriction to all but essential travel does not apply to U.S. citizens.  Please note that while the U.S. land border has been closed to all but essential travel, air travel into the United States between the U.S. and Canada and the U.S. and Mexico has not been restricted in the same manner.

U.S. District Court Reinstates Deferred Action for Childhood Arrivals (DACA): On December 4, 2020, the U.S. District Court for the Eastern District of New York ordered DHS to fully re-instate the DACA program.  The order is to take effect immediately, and requires DHS to take the following action:

• Post notice of the order;
• Inform the public that USCIS will accept first-time requests for the DACA benefit;
• Inform the public that USCIS will accept DACA renewal requests;
• Inform the public that USCIS will accept DACA advance parole requests.

DACA is a U.S. immigration policy that allows foreign nationals who came to the U.S. illegally as children with their parents to be eligible to obtain employment authorization if certain requirements are met. Those who receive DACA are often referred to as “Dreamers.”  It is anticipated there will be continued litigation in the future regarding the DACA immigration policy.  This includes the ongoing case before Judge Hanen of the District Court for the Southern District of Texas who has a hearing scheduled on a different challenge to DACA on December 22^nd.

President-elect Biden announces nominees for DHS Secretary and US Trade Representative: President-elect Biden has announced his nominees to serve as Secretary of the Department of Homeland Security (DHS) and as U.S. Trade Representative. On November 23, 2020, Biden announced his intent to nominate Alejandro Mayorkas, a Cuban American, to head the DHS. Previously head of the US Citizenship and Immigration Services (USCIS) under the Obama Administration, Mayorkas would be the first Latino and first immigrant to hold this position. On December 9, 2020, Biden announced Katherine Tai as U.S. Trade Representative (USTR). Tai, who currently serves as House Ways and Means Committee trade lawyer, would be the first woman of color and the first Asian American to hold the position.

Source: mondaq.com
Published: 14 December 2020

Press Release

WASHINGTON, DC – December 8, 2020 – Invest in the USA (IIUSA) announces its Board of Directors’ unanimous support for Senator Grassley and Senator Leahy’s bipartisan EB-5 Reform and Integrity Act of 2020 and especially the measures new and strengthened integrity measures.The measures strong integrity provisions include protections for good faith investors, protections for lawful EB-5 Regional Centers from any bad actors seeking to defraud investors, and a five-year reauthorization to stabilize the industry and help facilitate job creation and economic development across the country. IIUSA would like to thank Congress for its continued commitment to ensuring an equitable and long-term future for the job creating EB-5 Program and our leaders, members and government affairs team for their tireless work in this process.IIUSA is even more pleased to share the hundreds of non-EB-5 industry organizations and American cities that support the reauthorization and recognize the economic impact, job creation, and job retention that EB-5 investments bring.The EB-5 Regional Center Program allows federally authorized “Regional Centers” to pool EB-5 visa applicants’ investments to exponentially fuel U.S. local and regional economies (as this video illustrates) with projects that create and save thousands of American jobs.IIUSA President Robert Kraft stated, “A long-term reauthorization can generate more than $9B annually of job-creating investment into our economy, just when our economy needs it most – all at zero cost to the taxpayer.” Kraft continued:“That’s why we are pleased to have the support of the broad spectrum within the EB-5 industry AND the even broader spectrum of those outside the industry who stand to benefit from this reauthorization. Mayors from around the country, including the U.S. Conference of Mayors, trade associations, chambers of commerce, travel organizations, health care organizations, and many others stand with IIUSA to support this reauthorization.”Unlike all other visas, federal law requires that each EB-5 investor contribute either $900,000 or $1.8 million (depending on location) into a U.S. business AND create or retain at least 10 jobs for American workers. In other words: no jobs, no visa.For more information about the EB-5 Regional Center Program, please visit www.iiusa.org.

President of the European Commission, Ursula von der Leyen has dismissed calls from Green Party MEP Sven Giegold this week to launch the same infringement procedures against golden visa jurisdictions Spain, Portugal, Greece, and others as it recently did against Malta and Cyprus over their citizenship-by-investment programs.

Giegold’s arguments adhered to the by-now familiar refrain of IM-antagonists: “Golden visas open the door for criminals. They can easily launder their dirty money in the EU and avoid taxes,” Giegold said this week, reports The Express.

The MEP, a long-time, vocal opponent of investment migration, who is a co-founder of ATTAC Germany, a movement that “fights for the regulation of financial markets, the closure of tax havens, the introduction of global taxes[…]” openly denounced von der Leyen in the European Parliament, accusing her of “extending an open invitation to criminals” and letting EU citizens down by not opening infringement procedures against golden-visa countries.

“Golden passports and golden visas,” said Giegold, “are equally contrary to European law and must be punished equally. Visas are not a commodity. Civil rights come to depend on one’s wallet if they can be bought,” and added that the Commission should “immediately initiate infringement proceedings against EU member states with visa sales programmes.”

Von der Leyen, however, indicated she had no plans to initiate such proceedings (which, after all, would have to be levied against the at least 23 member states who offer investor visas, including five out of the EU’s six founding members) even though she had recently taken this step against Malta and Cyprus over their CIPs.

Conceding to Giegold that golden visa programs “raise very similar concerns” as CIPs, von der Leyen nonetheless stopped short of arguing for infringement proceedings, choosing instead to reiterate that the Commission “continues to closely monitor investor residence schemes and their application […], in particular, we want to verify that Member States carry out all obligatory border and security checks in line with EU legislation prior to the issuance of any residence permit.”

Source: imidaily.com
Published: 6 December 2020

There has been a 25% increase in the number of HNWIs enquiring about citizenship-by-investment as opposed to residence-by-investment programs since the coronavirus was first reported nearly a year ago, indicating that wealthy international investors are considering a more permanent change.
Leading residence and citizenship advisory firm Henley & Partners has also reported in a press release an unprecedented and sustained surge in enquiries from citizens of highly developed countries such as Canada, the UK, and the US compared to last year, along with noticeable shifts in its clientele’s priorities.

Dr. Juerg Steffen, CEO of Henley & Partners, says that when combined with over a decade of growth in engagement from the buy and sell side, it’s fair to state that investment migration is now very much a mainstream (U)HNWI advisory service. “The value to both investors and their families, and sovereign states and their citizens, is very clear. The volume has also now reached a critical mass where it is reasonable to suggest that investment migration is now a standard consideration for international HNWI who are looking to hedge volatility, create short term value as well as long term yield through enhanced global mobility. As client advisors, we are now seen, treated, and understood as other professional advisors to HNWIs such as lawyers, bankers, wealth and investment management professionals.”

In 2019, the top five countries in terms of enquiries were all emerging markets: India, South Africa, Bangladesh, Pakistan, and Nigeria. India remains at the top in 2020, but the combination of Covid-19 and sustained political turmoil saw the US, which was in 6th position last year, shoot up into 2nd place (as it plunged down the Henley Passport Index rankings), followed by Pakistan, Nigeria, and South Africa. The UK was 7th last year but ongoing Brexit uncertainty saw it creep up to 6th place in 2020, while Canada leapt from 16th position in 2019 to 8th place in 2020.

Remarkably, yet understandably, the most stratospheric growth in interest in investment migration programs globally has been in the US. By mid-November, Henley & Partners had seen an astonishing 235% spike in enquiries from US citizens since the start of the pandemic compared to the same period last year, with 74% more enquiries from Canadian citizens, and a 38% rise in enquiries from UK citizens.

Dr. Steffen says the two years leading up to 2020 saw investment migration mature from being a luxury lifestyle product to become a sophisticated investment choice, and the Covid-19 fallout has put a spotlight on the many benefits of strategic residence and citizenship planning. “More than simply being about ease of travel or acquiring a vacation home, alternative residence and citizenship encompass portfolio diversification, global investment and operations, and the creation of a new inheritance and identity for the family. The unexpected events of 2020 have simultaneously exacerbated push factors such as political and economic instability, and reprioritized pull factors, with stability, safety, and access to education and healthcare becoming issues of greater concern than ever. Savvy investors have realized that diversification is as relevant to lifestyle planning as it is to wealth management. By spreading their assets across a range of markets and jurisdictions, over time they are more likely to harvest returns than if they hedge their bets on one country alone — even if that is a world-leading nation.”

The unprecedented new investment migration industry dynamics are evidence of the fact that HNWI are increasingly appreciating that acquiring alternative residence or citizenship is a powerful diversification tool. Having been locked in for months, and with a second lockdown now being enforced in numerous countries, many people are wanting a new start in a different place. Those with the means are looking to diversify their portfolios in all possible aspects, including lifestyle and choice of location. No longer bound to physical offices in urban hubs, some are fleeing to country retreats away from the city crush or to remote, sparsely populated destinations where they and their families feel safe to breathe. Others are keenly exploring options to relocate to entirely new countries, from where they are able to continue operating their businesses while living a better life in a place where they feel more comfortable and secure — akin to their pre-Covid existence.

terms of numbers of enquiries received, the Caribbean citizenship-by-investment (CBI) programs feature prominently in the top three for Americans, Canadians, and UK citizens. St. Lucia is the number one choice for UK citizens and the second most popular program for US citizens. These statistics give a clear indication of the abiding allure of having the option to up and off to a small, safe island that can rapidly self-isolate should future crises strike. When it comes to residence-by-investment (RBI) options, Portugal outstrips all others, being the top choice for Americans, Canadians, and UK nationals.
In tandem with the rising number of enquiries from citizens of leading nations during 2020 is the constant and steadily growing interest shown by citizens from emerging market countries. Emerging economies have advanced impressively over the past two decades, and economic power has increasingly shifted towards these regions, but while these markets abound with opportunities in the form of a rapidly rising middle class, higher consumption, and attractive returns, the downside is that there are as many (if not more) risks, such as political and economic instability, inferior infrastructure, and poor market access. Kenya has seen tremendous growth in enquiries of 116% between mid-November 2019 and the same period in 2020, while India saw growth of 61% off an already high base in the same period, and Nigeria saw 30% growth, also off an impressive starting point.

Dominic Volek, Group Head of Private Clients, Henley & Partners, said: “The past few years have seen many affluent individuals from emerging markets across the world transcending the historical constraints imposed on them and accessing business, career, educational, and lifestyle opportunities on a global scale, for themselves and their families, by investing in residence or citizenship programs. We expect to see these numbers soaring in 2021 and beyond as the prevailing political and economic uncertainty that has unfortunately been exacerbated by Covid-19 prompts even more international investors to plan their next move.”

Source: hubbis.com
Published: 4 December 2020

Media Release

Geneva, 8th December, 2020

The two-month deadline set by the European Commission for the governments of Cyprus and Malta to reply to the letters of formal notice regarding their citizenship-by-investment pathways is approaching. In advance of this date, the Investment Migration Council (IMC) wishes to engage with all relevant stakeholders and remind them of a number of salient points.

The legal case

The right to assign citizenship is very clearly the sole competence of a sovereign state. This analysis of the European Commission’s legal case has nothing to do with whether one agrees with the concept of citizenship by investment. The vast majority of EU legal experts argue that the Commission has no legal right to become involved in how sovereign states define citizenship law.
The IMC has sought the opinions of several legal scholars, including Professor Dr Daniel Sarmiento, a leading specialist in EU competence law, and Professor Dr Carl Baudenbacher, the former president of the EFTA court. The conclusion is clear: The EU has no competence in the area of citizenship. Moreover, the concept of ‘genuine link’ that was invoked by the EU is both vague and arbitrary. The European Court of Justice already found in earlier decisions that it is not relevant.
It is therefore unlikely that the European Court of Justice would rule in favour in the matter at hand, as this could have very serious secondary consequences, and could open the way for the EU to encroach on the power of granting nationality, which is reserved, in EU Law, for Member States.

As rightly noted by the European Parliament, “Nationality is defined according to the national laws of that State.”

Strong governance and due diligence 

The IMC however understands and shares the concerns of both the EU and wider stakeholders around the question of proper due diligence on applicants to such programs. This is why it has developed, in cooperation with international anti financial crime firms BDO, Exiger and Refinitiv, a common best practice framework and developed a blueprint for good governance through due diligence standards to uphold the highest levels of integrity and transparency. https://bit.ly/2FvDJbH

Nevertheless, the IMC suggests that there has been a significant exaggeration of the risks. Working in partnership with Oxford Analytica, the leading geopolitical risk analysis and advisory firm, it has identified that for all the publicly voiced concerns, the due diligence and governance in place already acts as a powerful deterrent. See multiple reports: https://bit.ly/3j4D7bR & https://bit.ly/3g4xKJg

Oxford Analytica found that the operational reality is that investment migration risks are primarily theoretical in nature. This assessment is broadly shared with the intelligence, security, and law enforcement professionals involved in managing investment migration. Potentially nefarious activity is a negligible percentage and compares very favourably to other legal migration pathways.

There are, of course, enhancements that should be made at corporate, sovereign state, and intragovernmental information sharing levels. The IMC and its membership community are committed to the highest of standards. We want to work in partnership with the relevant stakeholders to devise a formal regulatory system that mirrors those of financial and professional services providers and that will ensure the necessary protection. That system should be based on an objective and knowledgeable analysis of the reality of investment migration, not one that is based on scare stories and rumour.

A creator of societal and sovereign value

Investment migration is a vital lever for sovereign nations to raise debt-free capital, attract talented individuals, and deliver benefits to society as a whole. In Malta, to mention but one example, the Individual Investor Programme attracted EUR 1.4 billion directly into the island nation’s economy following the damaging Euro crisis. This liquidity has had profoundly positive consequences. There has been significant employment creation across all levels of society, and the Maltese government has greater autonomy to invest in vital infrastructure projects, some of which involve critical care for cancer patients.

Bruno L’Ecuyer, CEO of the IMC commented: “Investment migration pathways are now a well-established, normalised wealth management advisory practice. As is the case with other established financial and professional services practitioners, we want to work in partnership with all relevant stakeholders to ensure that sovereign and societal value can be maximised through prudent, responsible, and objective regulation.”

For this to happen, all investment migration advisors must run operations to the highest possible standards and be prepared to face the consequences if they are found wanting. Equally, stakeholders must understand that the privilege of granting of citizenship and residence rights is solely the domain of a sovereign state and recognise the significant sovereign and societal value that can be created through investment migration, particularly in the Covid era, which moreover in many instances is aligned with the UNs Sustainable Development Goals.

ENDS.

About the Investment Migration Council

The Investment Migration Council (IMC) is the worldwide association for Investment Migration, bringing together the leading stakeholders in the field and giving the industry a voice. The IMC sets the standards on a global level and interacts with other professional associations, governments and international organisations in relation to investment migration. The IMC helps to improve public understanding of the issues faced by clients and governments in this area and promotes education and high professional standards among its members.

The IMC is constituted as a not-for-profit association under Swiss law. Based in Geneva, it has representative offices in New York, London and the Cayman Islands. Managed by a Secretariat under the direction of a Governing Board, the IMC also has a non-executive Advisory Committee, in which the most important industry stakeholders are represented. The IMC is funded by membership fees, donors and income from activities such as events, education, training, and publications.

Media Contact
Office: +41 22 533 1333
Email: media@investmentmigration.org