Some 200 foreign investors allegedly were cheated out of a total of $110 million by the owner and operator of a San Francisco company that had been approved to operate under the EB-5 immigrant investor program.

A federal indictment unsealed Aug. 20 in the U.S. District Court for the Northern District of California charges Thomas Henderson, the owner and operator of San Francisco Regional Center LLC, with several offenses, including wire fraud, misstatements to the federal government, and conspiracy. The grand jury also implicated Kexing Hu, who solicited EB-5 investors in China, and Cooper Lee, who owned companies that received...