Protecting clients against high-stakes fraud claims

Kennedys successfully defended our client against multi-million-dollar fraud claims brought by EB-5 investors, securing a complete dismissal in a complex, cross-border dispute.

Secured a complete defense
Delivered a coordinated strategy
Protected the client's position and reputation

When a group of investors brought complex fraud allegations under the US EB-5 Immigrant Investor Program, Kennedys was instructed to defend the claims. The case involved cross-border elements, reputational risk, and significant potential liability. Kennedys represented 9 of the 10 named defendants, including both LLCs and individual executives and entrepreneurs.

Together the team:

Secured a complete defense against serious fraud allegations in a high-stakes dispute
Delivered clear, coordinated strategy across a complex cross-border matter
Protected the client's financial position and reputation from significant risk

The challenge

The claims alleged misrepresentation, fraud, and breach of fiduciary duty in connection with EB-5 investment opportunities – a programme that allows foreign investors to obtain US visas through qualifying investments.

For our clients, the stakes were high: the allegations not only carried financial exposure but also the risk of damaging their business reputation across international markets. The case was procedurally complex, spanning multiple parties, jurisdictions, and regulatory considerations.

Our role

We worked with the client to:

Challenge the legal and factual basis of the investors’ claims
Navigate the intricate requirements of the EB-5 programme and its cross-border implications
Analyze the operative offering paperwork, investment documents, and partnership/LLC agreements
Present a robust defense to protect both commercial and reputational interests

The outcome

The court dismissed the investors’ claims in their entirety. This outcome provided immediate relief for the client, safeguarding their financial position and reputation.

It also underscored Kennedys’ strength in managing complex, multi-party disputes with international dimensions – combining deep legal knowledge with practical, commercial insight.

It is satisfying to see our decisive and strategic pursuit of a pleadings stage dispositive motion lead to an ideal result for our clients - a full and final dismissal of all the unfounded allegations made against them.

Katie Barksdale, Partner