Litigation Releases (Lixin Azarmehr, JL Real Estate Development Corporation, Nevada Skilled Nursing Lender, LLC, and Nevada Skilled Nursing Development, LLC)

Litigation Release No. 26412 / September 25, 2025

Securities and Exchange Commission v. Lixin Azarmehr, JL Real Estate Development Corporation, Nevada Skilled Nursing Lender, LLC, and Nevada Skilled Nursing Development, LLC, No. 2:24-cv-00707-JCM-MDC (D. Nev. filed Apr. 11, 2024)

SEC Obtains Final Judgment Against Defendants Charged with EB-5 Offering Fraud

On September 24, 2025, the Securities and Exchange Commission obtained a final judgment against Lixin Azarmehr, JL Real Estate Development Corporation, Nevada Skilled Nursing Lender, LLC, and Nevada Skilled Nursing Development, LLC, whom the SEC previously charged with an offering fraud and diverting approximately $10 million of investor funds for use in an unrelated real estate venture.

The SEC's complaint, filed in April 2024, charged Azarmehr and Nevada Skilled Nursing Lender, LLC with promising investors their money would be transferred to Nevada Skilled Nursing Development, LLC and used solely for the financing and construction of three skilled nursing facilities in the Las Vegas metropolitan area. Instead, the complaint alleged, the Defendants used the investor funds as collateral for an unrelated real estate venture of JL Real Estate Development Corporation in Los Angeles, California for almost four years.

The defendants consented to the entry of a final judgment permanently enjoining them from violations of the antifraud provisions of Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. In addition, the defendants consented to the entry of a final judgment permanently enjoining them, for a period of 10 years, from participating in the offer or sale of any security which constitutes, or is promoted as constituting, a qualifying investment in a "commercial enterprise" under the United States Government's EB-5 Immigrant Investor Program, administered by U.S. Citizenship and Immigration Services. The judgment also ordered JL Real Estate Development Corporation to pay $500,000 in disgorgement with $200,000 in prejudgment interest and a civil penalty of $500,000. Azarmehr was ordered to pay a penalty of $75,000.

The SEC's litigation was conducted by Rebecca Dunnan and H. Norman Knickle and supervised by Melissa Armstrong.