US H-1B Visa Fraud Probe Targets Indian Workers And IT Firms

The investigation, launched under the Trump administration, is the largest of its kind, focusing on allegations that companies misuse the H-1B program by keeping workers on the 'bench' without assignments and paying them lower wages than promised.

Cognizant, a major IT services firm with a large Indian workforce, is a primary target. The company has said it is cooperating with authorities and believes it has complied with all visa regulations.

The probe threatens the legal status of an estimated 300,000 Indian nationals working in the U.S. on H-1B visas, many of whom are employed by outsourcing firms that use the bench model to place workers at client sites.

If the government proves violations, companies could face fines and debarment from the visa program, while workers could lose their status and face deportation. The outcome could reshape how U.S. tech firms hire foreign talent.

Legal experts say the case could set a precedent for how H-1B dependent employers handle staffing and wage practices, potentially leading to industry-wide changes in compliance and workforce management.