Francisco
Securities & Exchange Commission v. Francisco
Opinion
Lead Opinion
Carney, J.
ORDER GRANTING DEFENDANT FRANCISCO’S MOTION TO DISMISS WITH THIRTY DAYS’ LEAVE TO AMEND
I. INTRODUCTION
On December 27, 2016, Plaintiff Securities and Exchange Commission (“SEC") filed a complaint and an ex parte application for a temporary restraining order (“TRO”) against Defendants Emilio,Francisco and various corporate entities. (Dkt. 1 [hereinafter “Compl.”],) The Complaint alleges four violations of Rule 10b-5, under the Exchange Act, and Section 17(a) of the Securities Act. (See id.) .After a hearing, the Court granted in substantial part the *987 SEC’s application for a TRO, (Dkt. 16), and subsequently issued a preliminary injunction against Defendants, (Dkt. 36).
Before the Court is Defendant Francisco’s motion to dismiss. (Dkt. 46 [hereinafter “Mot.”].) For the following reasons, the motion is GRANTED. Plaintiff SEC is given THIRTY DAYS’ LEAVE TO AMEND.
II. BACKGROUND
The facts as alleged in the Complaint are as follows: the United States Citizenship and Immigration Service (“USCIS”) administers the “EB-5 Immigrant Investor Program,” which sets aside visas for foreign investors who invest at least $500,000 in a “targeted employment area,” thereby creating ten…