California Couple Charged with Securities Fraud in $25 Million EB-5 Investment Scam

A Los Angeles-area couple has been charged with securities fraud in a $25 million EB-5 investment scam. The couple defrauded Chinese investors out of $25 million after telling investors that their money would be used to build a cancer center, named the Pacific Proton Therapy Regional Center. The couple told investors that their investment would make them eligible for a visa under the government’s EB-5 immigrant investor program.

Reportedly, at least 50 investors gave money to Charles Liu and his wife, Xin “Lisa” Wang to invest in the Pacific Proton Therapy Regional Center, yet no construction took place at the proposed site, even after 18 months. Instead, approximately $11 million went to three marketing firms in China (one of which Liu is chairman and CEO of) and the other $7 million went into Liu’s and Wang’s personal accounts.

Under the EB-5 program, investors are eligible for a two-year work and residency visa, with potential for a permanent visa, after investing at least $500,000 in a commercial enterprise in the U.S.

The judge in this case has issued a temporary restraining order freezing the couple’s assets and prohibiting them from raising any additional funds. Liu and Wang have been charged with fraud in the sale of securities and fraud in connection with the purchase or sale of securities.

Call a Los Angeles Securities Fraud Attorney Today

If you invested with Liu or Wang or their Pacific Proton Therapy Regional Center, you may have certain legal rights that require your immediate attention.

Contact an experienced Los Angeles securities fraud attorney today for a consultation to discuss your rights and options.

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