Allocation of Immigrant Visas (Q) Fund administration

(i) In general, Every new commercial enterprise must establish and maintain a separate account for each alien investor's capital investment, including funds held in escrow.

(ii) Use of funds: Funds in a separate account may only be: (I) Transferred to another separate account or a job creating entity; (II) Deployed into the intended capital investment project; or (III) Refunded to the contributing alien investor's capital investment, if permitted under this paragraph.

(iii) Deployment of funds into an affiliated job-creating entity If funds are transferred to an affiliated job-creating entity as per clause (ii)(I): (I) The affiliated job-creating entity must hold such funds in a separate account until they are utilized in the intended capital investment project. (II) Within 30 days of deployment as per subclause (I), the affiliated job-creating entity must notify the designated fund administrator, as outlined in clause (iv), that an authorized individual has verified the deployment into the project.

(iv) Fund administrator Unless specified in clause (v), the new commercial enterprise must engage a fund administrator to fulfill the requirements under this subparagraph. The fund administrator: (I) Must be independent of, and not directly associated with, the new commercial enterprise, the associated regional center, the job-creating entity, or any principals or managers of such entities; (II) Must be licensed, active, and in good standing as a: (aa) Certified public accountant; (bb) Attorney; (cc) Broker-dealer or investment adviser registered with the Securities and Exchange Commission; or (dd) Individual or entity meeting requirements established by the Secretary.

(III) Must monitor and track any transfer of funds from the separate account; (IV) Must co-sign all separate accounts; (V) Prior to any transfer from a separate account, must: (aa) Verify compliance with all governing documents, including organizational, operational, and investment documents; and (bb) Approve such transfer with a written or electronic signature;

(VI) Must periodically provide each alien investor with information about the activity of their account, including: (aa) Name and location of the maintaining bank or financial institution; (bb) Account history; and (cc) Any additional information mandated by the Secretary; and

(VII) Must create and retain, for a 5-year period, necessary books, ledgers, records, and documentation to comply with this clause, which must be provided to the Secretary upon request.

(v) Waiver (I) Permitted waiver The Secretary of Homeland Security, in consultation with the Securities and Exchange Commission, may waive the requirements outlined in clause (iv) for any new commercial enterprise or affiliated job-creating entity controlled by or under common control of a Securities and Exchange Commission registered investment adviser or broker-dealer, if the Secretary determines, at their discretion, that the Securities and Exchange Commission offers comparable protections and transparency for alien investors as outlined in clause (iv). (II) Required waiver The Secretary of Homeland Security must waive the requirements outlined in clause (iv) for any new commercial enterprise commissioning an annual independent financial audit conducted in accordance with Generally Accepted Auditing Standards, provided to the Secretary and all investors in the new commercial enterprise.

(vi) Defined term In this subparagraph, "separate account" refers to an account that: (I) Is maintained in the United States by a new commercial enterprise or job creating entity at a federally regulated bank or another financial institution as defined in section 20 of title 18 in the United States; (II) Is insured; and (III) Contains only pooled investment funds of alien investors in a new commercial enterprise concerning a single capital investment project.

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