Judge dismisses EB-5 lawsuit against Vermont

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MONTPELIER, Vt. (WCAX) A lawsuit alleging the state of Vermont was negligent in overseeing the EB-5 program has been tossed.

Five foreign investors sued, saying the state should have done more to prevent the massive fraud scheme that rocked the Northeast Kingdom. Former Jay Peak Owner Ariel Quiros allegedly misused investor funds.

But the state said the lawsuit had no merit because the state and its officials are immune under the law and the lawsuit didn't point to specific wrongdoing.

The judge agreed and dismissed the case.