By Terrance Cullen
Federal prosecutors are probing how the real estate firm owned by White House adviser Jared Kushner’s family used a controversial financing program that trades green cards for investments, according to a report.
The U.S. attorney’s office in Brooklyn has subpoenaed Kushner Companies, specifically looking for information about its One Journal Square project in Jersey City, the Wall Street Journal reported.
That two-building, mixed-use project was partially financed through the EB-5 program, a controversial system that offers green cards for foreign investors pitching in at least $500,000.
EB-5 has become a common financing method, used to raise money for high-profile Manhattan projects. But the Senate has been looking at reforming the system, which its opponents say favors already thriving areas and doesn’t help impoverished ones.
“Kushner Companies utilized the program, fully complied with its rules and regulations and did nothing improper,” Emily Wolf, general counsel for Kushner Companies, said in a statement via a spokesman. “We are cooperating with legal requests for information.”
The company declined to comment further on who specifically received a subpoena, which the Wall Street Journal reported was issued in May. The U.S. attorney’s office, which declined to comment to the newspaper, didn’t immediately respond to an inquiry Thursday.
White House critics bashed Kushner Companies in May when it was revealed that the company pitched the opportunity in China for 300 investors to pour in $500,000 a piece to become eligible for green cards, according to previous reports…Continue Reading →
This article (U.S. prosecutors subpoena Kushner Companies over financing pitch) was originally published on NY Daily News and syndicated by The Event Chronicle.