State of Vermont makes a final settlement with all 850 defrauded EB-5 investors — for pennies on the dollar

The state of Vermont has reached a $16.5 million settlement with all pending and future EB-5 lawsuits related to the Jay Peak fraud. Under the supervision of state officials, developers misappropriated $200 million of the $400 million raised by 850 EB-5 investors. The settlement, if equally divided, means less than $20,000 per investor. The state claims that it will help the investors in their pursuit of Green Cards, and if successful, this will reduce the settlement payout by $4 million. The attorney general says, “This civil settlement will bring a global resolution to the State’s involvement in this matter, which will protect the State from additional EB-5 lawsuits.” Last month, the state agreed to pay $750,000 to settle claims from eight investors associated with Jay Peak.

See The Associated Press story