• Sherry Xue Li, pleaded guilty to orchestrating a $30 million scheme that promised foreign investors green cards and political access. The long-running scam leveraged U.S. campaign contributions and photos with high-profile figures to lend false credibility to a fictitious education center project.

NEW YORK, N.Y. (TDR) — A decade-long fraud that combined immigration scams, campaign finance violations, and political name-dropping has come crashing down. Sherry Xue Li, a 53-year-old political donor with ties to former President Donald Trump’s re-election campaign, pleaded guilty Wednesday to money laundering and conspiracy to defraud the United States in a $30 million scheme that targeted foreign investors with promises of U.S. permanent residency and access to powerful politicians.

Federal prosecutors say Li, along with her co-conspirator Lianbo Wang, lured over 150 investors—primarily from China—into contributing funds toward a fraudulent real estate development known as the Thompson Education Center, located in Sullivan County, New York. The project was marketed at various times as a sprawling “Chinese Disneyland,” a business hub, a medical campus, and eventually a for-profit university.

The lure? A $500,000 investment under the EB-5 visa program, which grants lawful permanent residency to foreign nationals who invest in qualified U.S. ventures. According to prosecutors, Li and Wang manipulated this federal program, falsely assuring investors that their funds would secure green cards and positions in a thriving new institution.

“Li defrauded more than 150 victims in the United States and abroad through years of lies and deception,” said U.S. Attorney Rebecca Nocella. “In doing so, she attempted to corrupt a fundamental institution in this country—fair and transparent elections free from unlawful foreign influence.”

Political Access for Sale

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To bolster the legitimacy of their enterprise, Li and Wang leveraged photos of Li posing with influential American politicians. In one instance, Li attended a June 2017 Trump re-election fundraiser in Washington, D.C. where the admission was $35,000 per guest. Prosecutors say Li collected $93,000 each from 12 foreign nationals—allegedly for travel and admission—then funneled $600,000 in their names into the campaign.

The pair later used photographs of Li with President Trump and First Lady Melania Trump to promote the fictitious development, falsely implying government endorsement. Federal election law strictly prohibits campaign contributions from foreign nationals, and while neither Trump nor his campaign was accused of wrongdoing, the case underscores vulnerabilities in campaign finance enforcement.

Lavish Spending, Fake Updates

Rather than advance any real project, Li diverted much of the collected funds for personal luxuries—spending heavily at casinos, upscale restaurants, luxury retailers, and jewelers. To maintain the illusion of progress, Li and Wang paid contractors and engineers to produce architectural renderings. When pressed by investors, Li even sent photos of unrelated construction sites to falsely suggest that building was underway.

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The scam netted over $31.5 million from victims. About half of that sum came directly from EB-5 visa applicants, none of whom received the permanent residency they were promised. Wang pleaded guilty in 2024 and was sentenced to five years in prison. Li, facing up to 20 years, has agreed to forfeit $31.5 million and surrender three properties.

“She sought to profit by selling access to the democratic process,” said Nocella. “Our Office is committed to prosecuting predatory fraudsters who steal victims’ hard-earned money.”

A Broader Warning

The case highlights growing concern around the abuse of investor visa programs and the manipulation of campaign finance laws through foreign-backed donations. While the EB-5 program has served as a legitimate investment pathway for many, critics have long warned it can be vulnerable to exploitation—particularly when paired with promises of political influence.

Will this prosecution send a strong enough signal to deter future abuses—or is more needed to shield elections and immigration policy from predatory schemes?

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