Wells Fargo Says She Should Have Known Better
Wells Fargo moved to dismiss the lawsuit in April, arguing that Azarmehr — as an immigration attorney specializing in EB-5 projects, a real estate developer, and co-founder/CEO of JL Red — should have recognized the legal risks of transferring EB-5 funds into a brokerage account and using it as loan collateral.
The bank called her reliance on the former adviser’s statements “implausible,” stressing the adviser wasn’t a lawyer and could not provide legal assurances on EB-5 fund transfers.
Claims Dismissed — Some With a Door Left Open
Judge Gordon dismissed several claims without prejudice, leaving room for potential amendment. These include:
• Breach of fiduciary duty
The judge found no plausible link between Wells Fargo’s alleged failure to act on red flags and the SEC’s actions.
• Breach of contract
Azarmehr, he said, merely recited claim elements without factual support.
• Tortious interference with contract
The court ruled she did not plausibly allege that Wells Fargo interfered with agreements between NSN entities.
