Business & Economy

Indictments and the closing of the state EB-5 program.

VTDigger exposed the fraud at Jay Peak Resort five years ago. But for our reporting, the developers likely would have continued looting foreign investors for years.

In May, indictments were handed down in a dramatic hearing in U.S. Federal Court.

Federal prosecutors charged developers Ariel Quiros, Bill Stenger and two other men with money laundering in the biggest investor fraud in the state’s history. The Securities and Exchange Commission accused Quiros and Stenger of misusing $200 million in EB-5 monies. 

The fraud was perpetrated under the noses of state officials. In September, the federal government permanently shut down the Vermont EB-5 Regional Center partly in response to VTDigger’s reporting on the state’s cozy relationship with the developers.

In an ongoing, two year battle over records in the case, we sued (again) for documents in January and after months of legal wrangling we were told by the Vermont Attorney General’s office that the communications of a former director of the center had been destroyed.  

Thousands of pages of records in the EB-5 scandal have yet to be released and a half dozen lawsuits remain in play. It could be years before the full story comes out.

VTDigger has been on the case since 2014, and we stay on it because of you. 

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With gratitude,

Anne Galloway
Executive Director and Editor of VTDigger

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Anne Galloway

About Anne

Anne Galloway is the founder and editor of VTDigger and the executive director of the Vermont Journalism Trust. Galloway founded VTDigger in 2009 after she was laid off from her position as Sunday editor of the Rutland Herald and Times Argus. VTDigger has grown from a $16,000 a year nonprofit with no employees to a $2 million nonprofit daily news operation with a staff of 25. In 2017, Galloway was a finalist for the Ancil Payne Award for Ethics, the Al Neuharth Innovation in Investigative Journalism Award and the Investigative Reporters and Editors FOIA Award for her investigation into allegations of foreign investor fraud at Jay Peak Resort.

Email: [email protected]

Follow Anne on Twitter @GallowayVTD

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