DHS Plans to End ‘Startup Visa’ Rule That Helps Foreign Entrepreneurs Start Companies in the US

DHS Plans to End ‘Startup Visa’ Rule That Helps Foreign Entrepreneurs Start Companies in the US

2018-05-28T08:25:57+00:00 May 28th, 2018|US Visa/Passport News|

The US Department of Homeland Security has officially proposed to put an end to a rule created by the Obama administration in 2015, which permits international entrepreneurs to temporarily settle in the United States and help develop their business in the country.

A draft of this proposal that has been published by the DHS, is based on the claims that the program is “inadvisable, impracticable, and an unwarranted use of limited agency resources”, as well as that it lacks sufficient protection for US workers and investors, adding that it is “out of sync with DHS’ current policy priorities”.

“DHS concluded that the IE Final Rule created a complex and highly-structured program that was best established by the legislative process rather than relying on an unorthodox use of the Secretary’s authority to “temporarily” parole, in a categorical way, aliens based on “significant public benefit,” is said on a press release of the US Citizenship and Immigration Services.

The rule, which is formally called the International Entrepreneur Rule was created in 2015, in order to permit people to come in the US and invest by creating their own companies, since the US does not have any special visas to encourage entrepreneurs to build their companies in the US, as other countries like the United Kingdom, France or Canada do.

The rule was scheduled to go into effect on July 2017, but the Trump administration, delayed its launch with the purpose of later scraping it.

In September, same year, the US Department of Homeland Security was sued be the National Venture capital Association alongside startup founders, for not following the “notice-and-comment” procedures before postponing rule’s launch, which procedure is usually applied to such cases. Later on December, a judge decided that the DHS did not have a reasonable cause to delay the start of the rule.

The DHS will be publishing a notice on the proposal to rescind the rule on Tuesday, May 29,  to which there will be a 30-day period for public comment.