Startup Visa paused for fraud
IRCC has paused the Startup Visa program amid suspected fraud — examples like Empowered Startups and thousands of questionable applications have created a 45,000‑app backlog against roughly 500 available spots reported reported.
IRCC announced [canada.ca] that it would stop accepting new Start‑Up Visa commitment certificates after December 31, 2025 and placed the program on pause effective January 1, 2026 [canada.ca]. Applicants who secured a valid 2025 commitment certificate were given a firm deadline to apply for permanent residence by June 30, 2026 [canada.ca]. Government data and independent trackers showed roughly 43,000–43,200 pending Start‑Up Visa files, with IRCC listing estimated processing times of “more than 10 years” for new filings as of October 2025 [visaverge.com][newcanadianmedia.ca]. That backlog ballooned in 2024–2025 and was a primary rationale cited by officials for the intake pause [immigration.ca]. A Bloomberg investigation specifically flagged cash‑for‑visa concerns tied to some incubators, naming Vancouver‑based Empowered Startups and citing a case with a reported C$300,000 fee, while quoting IRCC officials saying the Start‑Up Visa “stopped working as intended” [bloomberg.com]. Parallel enforcement and adjudication actions included tougher scrutiny of incubator‑backed files and Federal Court rulings upholding refusals of artificial or non‑genuine ventures [greenberghameed.com]. Ottawa signalled a redesigned entrepreneur pilot for 2026 and an indicative target of roughly 500 admissions per year in the 2026–2028 plan [canada.ca][visaverge.com], while immediately ending intake for the optional SUV work‑permit route and imposing prioritization rules for designated organizations that can demonstrate committed capital or priority status [redim.ca][canada.ca].