Texas authorities are investigating three North Texas companies for alleged H-1B visa fraud, focusing on irregularities in foreign worker sponsorship and potential misuse of the federal visa system.
AUSTIN, TX – The Texas Office of the Attorney General has initiated a comprehensive investigation into suspected abuses of the H-1B visa program, targeting three companies in North Texas for alleged irregularities in their sponsorship of foreign workers.
The announcement, made on January 28, highlights a growing concern among state officials regarding the misuse of the federal visa system by certain businesses.
Attorney General Ken Paxton has issued Civil Investigative Demands (CIDs) to the firms, compelling them to provide extensive documentation related to their operations, finances, and employment practices. Investigators suspect that these companies may have employed deceptive tactics to secure H-1B visas, which allow U.S. employers to temporarily hire foreign workers in specialized occupations.
Allegations suggest that some businesses may have established “ghost” or paper companies to create a façade of legitimacy. These entities reportedly advertised products or services online that were not actually provided. In one instance, a company allegedly listed an unfinished single-family home as its corporate office while claiming to operate as a legitimate commercial enterprise.
Authorities believe these arrangements were designed to fabricate the appearance of legitimate business activity, enabling the companies to sponsor foreign workers despite a lack of evidence indicating they generated genuine revenue or offered real services while sponsoring numerous visa holders in recent years.
Framing the investigation as part of a broader initiative to protect workers, Paxton warned that those attempting to exploit the visa system would face serious consequences. “Any criminal who attempts to scam the H-1B visa program and use ‘ghost offices’ or other fraudulent ploys should be prepared to face the full force of the law,” he stated in the official announcement. He further emphasized that such abuses “strip jobs and opportunities away from Texans,” pledging ongoing scrutiny of the system and accountability for violators.
As part of the investigation, authorities are seeking records that identify employees associated with the companies, documentation of the services they claim to offer, financial statements, and both internal and external communications related to their operations.
The investigation is still in its early stages, and no criminal charges have been filed as of yet. The identities of the companies involved have not been publicly disclosed. Officials indicated that further actions will depend on the findings from the requested documents.
According to ANI, the situation underscores the importance of maintaining integrity within the H-1B visa program and ensuring that it serves its intended purpose of filling specialized roles in the U.S. workforce.