President Donald Trump has announced a visa program called “Gold Card” for foreign investors seeking permanent residency in the United States, and ultimately American citizenship.“We are going to be selling a Gold Card,” Trump said on Tuesday. “We are going to be putting a price on that card of about $5 million. It’s going to give you Green Card privileges, plus it’s going to be a route to (American) citizenship, and wealthy people would be coming into our country by buying this card,” he said.The scheme, the details of which would be known in two weeks, would replace the EB-5 immigrant investor visa program, Trump said.Commerce Secretary Howard Lutnick said “the EB-5 program…was full of nonsense, make-believe and fraud, and it was a way to get a Green Card that was low-price”.EB-5 vs Gold CardThe EB-5 program, created by Congress in 1990 and administered by the US Citizenship and Immigration Services (USCIS), grants permanent residency (Green Card) to foreigners who invest in American businesses. Investors must put in at least $1.05 million ($800,000 in certain specific cases), and create at least 10 jobs for Americans.While details are not known yet, it appears that the Gold Card will not require an investment in American businesses or the creation of new employment. It could simply be a direct purchase of a Green Card by paying a flat fee of $5 million to the US government.It appears likely that the USCIS will administer and regulate the issuance of the Gold Card as well. USCIS will likely work with the Department of State and Department of Commerce to administer the investment side of the scheme. Processing times are expected to be short to incentivise the scheme.Story continues below this adLikely benefits to the US…It could be argued that the “clear and simple” route to residency offered by the scheme will bring high-net-worth individuals to America, whose investments will stimulate the US economy. High-net-worth immigrants often invest in real estate, luxury markets, and businesses.As Lutnick has pointed out, the EB-5 program has been accused of facilitating fraud; and a simple, high-cost purchase model could reduce or eliminate such risks.…And several concernsWhile the Gold Card scheme throws up several ethical, legal, and political concerns.🔴 The program could be seen as putting American citizenship on sale, favouring money over merit, catering to the rich at the expense, perhaps, of talented professionals.Story continues below this ad🔴 Immigration programs with an investment component can be vulnerable, in the absence of strong regulatory checks, to possible money laundering and undue foreign influence. Trump was nonchalant when asked whether the program might open America’s doors to Russian oligarchs: “Yeah, possibly. Hey, I know some Russian oligarchs that are very nice people.”🔴 If the Gold Card comes without a requirement to invest “in jobs-creating enterprises”, passive investors could gain residence in the US with no contribution to its economy.🔴 The central questions remain whether US citizenship is to be put on sale, and whether US immigration policy should privilege skills, contributions, and diversity. A similar program in Canada, albeit with a much smaller investment amount, was shut down after rampant misuse.Challenges aheadIN CONGRESS: Any significant change to immigration policy must be approved by Congress. The Republican party currently has a majority in both houses; however, not all Republicans may want to be accused of selling American citizenship. Democrats will almost certainly oppose the proposal.Story continues below this adIN COURTS: Most legal challenges in visa programs originate from the administration of the program, rather than the program itself. It is too early to guess what legal challenges Trump’s Gold Card may face.Indians and Gold CardIn the 2023 financial year, only 631 Indians obtained US Green Cards through the EB-5 program using consular processing.Given this small number for a scheme where the investment required is only about $1 million, it seems unlikely that the idea of buying a Green Card for five times that sum — more than Rs 43 crore at the current exchange rate — will appear attractive to many Indians.(Ravneit Kaur Brar is a US attorney and a member of the American Immigration Lawyers Association. She is empanelled with the US Embassy in India)