SEATTLE — The Securities and Exchange Commission filed a complaint and sought a restraining order Monday against the head of an investment firm, saying he bilked more than 250 Chinese investors out of millions of dollars on two real estate projects — a skyscraper in downtown Seattle and a development in Everett.
Securities officials said Lobsang Dargey, CEO of Path America, exploited a federal visa program to defraud investors by claiming their involvement in his projects would help secure their residency in the U.S. The EB-5 Program lets foreign nationals qualify for residency if they invest $500,000 or more in projects that create jobs for U.S. workers.
The complaint said Dargey, a trained Tibetan monk, used that lure and a promise of returns to raise more than $125 million. Officials say he funneled funds through the Potala Tower in Seattle’s Belltown neighborhood and a farmer’s market in Everett and spent the money on unrelated projects and at casinos.
Dargey didn’t immediately respond to requests for comment.
According to the Path America website, the company “is a one-stop shop for foreign investors who wish to live in the U.S.”