NY Woman Admits Guilt in $30M Investor Scam Tied to Trump Fundraiser
New York, August 1, 2025 — A New York woman has pleaded guilty to a large-scale fraud scheme that falsely promised U.S. visas and political connections, including access to a 2017 Trump fundraiser, in exchange for millions of dollars in investments.
Sherry Xue Li, 52, of Oyster Bay, admitted in federal court this week that she and her associate Lianbo “Mike” Wang misled dozens of foreign investors in a fraudulent project that collected over $30 million from 2013 to 2022.
False Promises: U.S. Green Cards and Elite Access
At the center of the scheme was a proposed real estate development known as the “Thompson Education Center,” pitched as a future luxury education campus in Sullivan County, New York. Li and Wang advertised the project primarily to wealthy Chinese nationals, claiming that by investing, they could secure EB-5 immigrant investor visas — a U.S. program offering green cards in exchange for job-creating investments.
In addition to the visa promises, investors were enticed with the idea of gaining direct access to U.S. politicians. One of the most high-profile events used to lure victims was a 2017 fundraising dinner for Donald Trump, where Li allegedly claimed donors would receive VIP-level access to the then-president and other government leaders.
These claims were completely unfounded, according to prosecutors.
Lavish Lifestyle Funded by Fraud
Instead of developing the promised education center or assisting with visa applications, Li and Wang used a significant portion of the funds for personal gain. According to the U.S. Department of Justice, the duo used investor money to purchase a multimillion-dollar Long Island home, high-end vehicles, luxury travel, and tuition at private schools.
They also funneled millions in political donations to gain access to events and photo opportunities with U.S. politicians, which were then used as false proof of their political influence.
“These individuals manipulated the American immigration system and exploited the ambitions of investors who trusted them,” said U.S. Attorney Damian Williams in a public statement.
No Allegations Against Trump or Campaign
Authorities emphasized that there is no evidence suggesting that Donald Trump or his campaign team were aware of the fraudulent nature of the donations or investor involvement. The Trump fundraiser attended by Li was a legal event open to donors who met required contribution levels.
Still, the incident has sparked renewed scrutiny of political fundraising practices, especially concerning donations made by foreign nationals or through deceptive means.
Legal Outcome: Guilty Pleas and Prison Time Ahead
Both Li and Wang have pleaded guilty to conspiracy to commit wire fraud and immigration fraud. Each faces a maximum sentence of 20 years in federal prison. Sentencing is expected later this year, and prosecutors may also seek restitution for victims.
This plea deal brings to an end a nearly decade-long investigation conducted by the FBI and Homeland Security Investigations (HSI), which included undercover operations, financial audits, and interviews with international investors.
Impct on EB-5 Visa Program and Foreign Investors
This case sheds light on ongoing vulnerabilities in the EB-5 immigrant investor program, which has faced criticism over fraud risks in recent years. While the program remains a legal pathway for obtaining U.S. residency through business investments, officials urge potential participants to be cautious and verify projects through official government channels.
Legal experts are calling for tighter enforcement and improved transparency in how EB-5 projects are marketed overseas.
“Anyone seeking to invest in the U.S. must ensure the legitimacy of the opportunity and consult with accredited legal advisors,” said Dr. Megan Holder, a political finance law analyst.
A Wake-Up Call for Political Fundraising Oversight
While political contributions from U.S. citizens and lawful permanent residents are allowed, this case highlights the need for stricter oversight of who donates and why. The use of political imagery and events as a selling point in fraudulent schemes has become more common, experts say.
“This wasn’t just about visas — it was about selling the illusion of influence,” added Holder. “When that illusion is tied to high-level fundraising events, the lines between access and exploitation blur dangerously.”
What Happens Next?
With both defendants now awaiting sentencing, authorities are working to identify additional victims and possibly recover funds. The Justice Department encourages anyone who may have invested in the Thompson Education Center or related projects to come forward.
Meanwhile, lawmakers and watchdog groups are pushing for new legislation to increase accountability in campaign finance and immigration-linked investment programs.
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