A dispute over the return of investment funds from a hotel development project tied to the federal EB-5 Immigrant Investor Program has led to a lawsuit alleging breach of contract, unjust enrichment, conversion, and intentional misrepresentation. The case centers on an investor’s efforts to recover $500,000 plus fees after withdrawing from the program when his circumstances changed.
According to court documents filed by Mohammed Alnaher in the United States District Court for the Eastern District of Wisconsin on February 28, 2026, defendants Anaheim Hotel Investment LLC and FirstPathway Partners LLC are accused of failing to return Alnaher’s investment and related sums following his withdrawal from participation in a private offering connected with the development of a JW Marriott hotel in Anaheim, California.
The complaint details that Alnaher invested as part of an effort to secure permanent residency in the United States through the EB-5 Immigrant Investor Program. This program allows foreign nationals who invest significant capital in U.S. projects that create jobs to apply for lawful permanent residence. In this case, investors were required to contribute $500,000 per unit plus a $50,000 administrative fee for units offered by Anaheim Hotel Investment LLC. The company’s materials indicated that these investments would be used for financing and constructing a 466-room hotel project located within the Southern California Regional Center area.
Alnaher alleges that he wired his funds into an escrow account designated by the manager in January 2019 with the intention of applying for U.S. permanent residence through investment in the company. After submitting necessary documentation as outlined in various agreements—including a Confidential Investment Letter, Private Placement Memorandum (PPM), Operating Agreement, and related documents—his subscription payment was released upon receipt of confirmation from immigration authorities regarding his petition filing.
However, after withdrawing his I-526 petition (the first step toward obtaining conditional permanent residence under EB-5 rules) due to changes in personal circumstances—specifically securing alternative residency status as a medical doctor—Alnaher requested the return of his investment. Despite assurances from representatives associated with FirstPathway Partners that “May of 2025 is the most likely timeline for return of your investment,” Alnaher states that defendants have failed or refused to return any portion of his original contribution or fees.
The lawsuit claims that while offering materials highlighted restrictions on liquidity and redemption rights if petitions were denied by immigration authorities, they did not adequately address situations where petitions were withdrawn voluntarily before final adjudication. Alnaher argues there is no justification under these circumstances for withholding returned funds: “when a I-526 petition is withdrawn as under the facts and circumstances here, there is no justification for failing to return an Immigrant Investors investment.” He further asserts that defendants exercised unauthorized control over specific identifiable funds intended solely for immigration-related purposes.
The complaint outlines several legal arguments:
– Breach of contract: Alnaher claims defendants failed to comply with contractual obligations governing escrow release and refund rights after withdrawal from the program.
– Unjust enrichment: He alleges defendants retained benefits conferred by his capital contribution without providing either financial or immigration benefits promised.
– Conversion: The suit asserts defendants wrongfully exercised dominion over specific funds after events triggering their return had occurred.
– Intentional misrepresentation and fraudulent concealment: Alnaher contends material omissions about affiliated entities involved in fund management altered risk profiles without proper disclosure.
– Specific performance: He seeks enforcement requiring repayment based on both contractual terms and equitable considerations now that immigration objectives can no longer be achieved through this investment.
In addition to damages equal at least to his original $500,000 capital contribution plus administrative fees—and consequential losses—the plaintiff requests restitution or disgorgement where appropriate; compensatory damages; rescission; statutory interest; costs; specific performance compelling repayment; and any other relief deemed just by the court under Wisconsin law.
The case was filed by attorney Anthony W. Cummings (Bar Number: 2228450) with Certilman Balin Adler & Hyman LLP representing Mohammed Alnaher. The matter is docketed as Case 2:26-cv-00344.
Source: 226cv00344_Alnaher_v_Anaheim_Hotel_Investments_LLC_Complaint_Eastern_District_Wisconsin.pdf
