QUOTE(perfect @ Jun 30 2008, 02:08 PM)

When she was here before, she overstayed her VWP because she was intending to immigrate here then. So, she overstayed and worked illegally.
If she overstayed more than 6 months, she has at least 3 year ban on returning. She can't use VWP, nor she will be issued a tourist visa within that period.
QUOTE(perfect @ Jun 30 2008, 02:08 PM)

She filed the I-130 within 60 days of arriving so as not to arouse suspicion, but I'm not sure how she could do that because someone else said she cannot adjust status from VWP. What is the I-130 for if not to adjust status?
Her mother filed I-130. With I-130 one states that he/she is eligible (as USC or PR) to sponsor certain person because that person is related as spouse, parent, child... Approved I-130 means, yes - law allows you to sponsor this particular person... It has nothing to do with the beneficiary's eligibility to immigrate or adjust status.
QUOTE(perfect @ Jun 30 2008, 02:08 PM)

Her mother also came on the VWP two years before and she filed an I-130, again after 60 days presence to avoid suspicion which was approved without her going back to her own country for interview and she now has her greencard.
Law prohibits adjustment of status of those who entered on VWP. Exception is made for immediate relatives (spouse, parent and child under 21 of US citizen)
QUOTE(perfect @ Jun 30 2008, 02:08 PM)

Would the process/likely outcome be different for the daughter who intends to immigrate if she had filed an I-130 using her brother who may be a citizen as the sponsor? Could she then legitimately file an I-130 after entering on the VWP and just stay here permanently without going back to her home country for interview?.
No, brother is not "an immediate relative" for immigration purpose
QUOTE(perfect @ Jun 30 2008, 02:08 PM)

She told me that she had phoned the London Embassy and they had told her she would be ok to enter the US on the VWP even though she has an I-130 pending. Am I correct to assume that is not necessarily the case and that although she is ok to travel, once the immigration agent at LAX sees she is entering on VWP with a pending I-130 she will in all probability be turned away??
As said, one can visit USA while I-130 is pending. Normal rules apply: one has to be prepared to show strong ties to home country and intent to leave the USA after the visit...
However, in this case, there is much more to it... did she disclose to the person she talked to that she overstayed?
QUOTE(perfect @ Jun 30 2008, 02:08 PM)

If so, does her being turned away after having tried to enter then trigger the 3-10 year ban because of her previous illegal presence and illegally working?.
The ban started when she left last time...
QUOTE(perfect @ Jun 30 2008, 02:08 PM)

...but trying to save her $1500 for a plane ticket if the odds are strongly against her!
1. she can't just come (even for a visit) as she most likely (you did not say how long she overstayed) has a ban
2. there is already a suspicion of her immigrant intent
3. arriving as a tourist with the intention to stay is illegal and ground for the denial of adjustment of status...and
4. if she enters on VWP, she is not eligible for AOS anyway
5. + by the time her priority date becomes curent (she can file for AOS), she will be out of status and accumulate overstay again. One (in her immigrant category) can't adjust status if he/she has no status.
What are the odds this will work for her in a long term? The way the law is: none
The best course of action: sit and wait in her home country by the time she is eligible to apply for an immigrant visa based on her mother's petition. If she has a 3 year ban, it will be over by then. If she has 10 year ban, she may be eligible for a waiver at that point.
It seams to me that their lawyer did not explain eveyrthing to them (or did not know about it) or mother and daughter hear only what they want to hear; and don't take into the account the whole picture and consequences.
Daughter now has a not so clean record with USCIS and that will have an effect on every and any course of action they may come up with.