Hawaii Supreme Court Rejects EB-5 Fraud Case Appeal
The Hawaii Supreme Court rejected an appeal on October 16, 2026, in a fraud lawsuit brought by Chinese and Japanese immigrant investors against an EB-5 regional center network. The plaintiffs — more than two dozen people — allege they lost money through a scheme involving real estate partnerships and immigration consulting firms. The ruling keeps the case alive against the defendants.
The Hawaii Supreme Court rejected a certiorari appeal on October 16, 2026, in a long-running fraud case involving dozens of Chinese and Japanese immigrant investors who lost money through an EB-5 regional center scheme. The court's five justices — Chief Justice Devens, McKenna, Eddins, Ginoza, and Circuit Judge Costa — unanimously turned away the appeal filed by Hawaii City Plaza LP and Hawaii Ocean Plaza LP.
What the case is about
The lawsuit names more than two dozen plaintiffs — immigrants from China and Japan — who invested through entities including California Investment Regional Center LLC, California Regional Center LLC, and American Investment Immigration Fund. The EB-5 program allows foreign nationals to obtain a green card by investing a set amount of money in a US business that creates jobs. Investors in this case alleged they were defrauded by the defendants, which included real estate limited partnerships and immigration consulting firms. The defendants tried to get the Hawaii Supreme Court to review a lower appeals court ruling against them. The court said no.
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The case also involves several law firms and attorneys named as third-party defendants, including the Law Office of Wen Sheng Gao and Otsuka & Associates. The rejection of certiorari means the Intermediate Court of Appeals decision stands — the defendants cannot escape the lawsuit by asking Hawaii's highest court to step in.
What to do
- If you invested through an EB-5 regional center and believe you were misled, talk to an immigration attorney who handles investor fraud cases — you may have legal options even if years have passed.
- Before investing in any EB-5 project, verify the regional center is USCIS-approved at the official USCIS website (uscis.gov) and check for any SEC enforcement actions against the center.
- If you are already in removal proceedings because your EB-5 investment failed, ask your attorney about whether fraud by the regional center — not your own fault — affects your case.
- Keep all documents related to your investment: contracts, wire transfer records, and any communications with the regional center or immigration consultants.
A full breakdown of this topic — in our guide “Appealing to the BIA”.
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EB-5 investors who were defrauded by a regional center have two separate fights: a civil fraud claim to recover money, and an immigration fight to protect their green card or conditional residence. USCIS may issue a Notice of Intent to Terminate your immigrant investor status if the project fails, and you typically have only 87 days to respond. If you received such a notice — or fear you might — consult an immigration attorney who handles both EB-5 and removal defense before that window closes.
Frequently Asked Questions
What does it mean that the Hawaii Supreme Court rejected certiorari?
It means the court refused to review the case. The lower appeals court ruling stands. The defendants — the real estate partnerships and others — cannot use Hawaii's highest court to dismiss or reduce the claims against them. The lawsuit continues in the lower courts.
Can an EB-5 investor lose their green card if the project fails due to fraud?
Yes, it is possible. USCIS can move to terminate your conditional permanent residence if the EB-5 project does not meet program requirements — even if the failure was caused by fraud, not by you. An immigration attorney can help you argue that you were a victim and that your status should be protected.
Is the EB-5 program still available in 2026?
Yes. The EB-5 Immigrant Investor Program is still active. It allows foreign nationals to invest in a USCIS-approved project to obtain a green card. The program has stricter rules since the EB-5 Reform and Integrity Act of 2022, including stronger oversight of regional centers. Always verify a regional center's status on the official USCIS website before investing.
What should I do if I think I was defrauded by an EB-5 regional center?
You may be able to file a civil lawsuit to recover your investment, and you should also report the fraud to the SEC (sec.gov/tcr) and USCIS. At the same time, protect your immigration status — talk to an immigration attorney about whether your green card or visa is at risk and what steps to take.