Texas probes firms in H-1B fraud case
Texas Attorney General Ken Paxton has taken legal action against nearly 30 North Texas businesses as part of an investigation into suspected fraud and abuse of the H-1B visa programme, officials said Thursday.
Paxton’s office has issued Civil Investigative Demands (CIDs) to the companies, seeking records as part of what authorities describe as a widening probe into alleged misuse of the system that allows US employers to hire foreign skilled workers.
The investigation includes Tekpro IT LLC, Fame PBX LLC, 1st Ranking Technologies LLC, Qubitz Tech Systems LLC, Blooming Clouds LLC, Virat Solutions, Inc., Oak Technologies Inc, Techpath Inc, and Techquency LLC, among others.
“These companies are suspected of engaging in fraudulent practices designed to exploit the H-1B visa program,” the statement said.
Authorities say several of the firms may have used so-called “ghost offices” to falsely present active operations in order to sponsor foreign workers.
“I will not allow the H-1B program to be abused by bad actors seeking to use it as a loophole for allowing foreign nationals to invade Texas,” Paxton said.
“My office will continue working to uncover and put an end to fraud within the H-1B program.”
The Attorney General’s office has sought documents identifying employees, records of products and services, financial statements, and internal communications tied to business operations.
Officials said the move builds on an ongoing and broader investigation into alleged H-1B abuse across Texas.
“This announcement is a continuation of Attorney General Paxton’s sweeping investigation into H-1B abuse, which has previously included multiple other Texas companies,” the statement said.
The Office of the Attorney General added that it is “actively investigating participants in the program to ensure compliance with the law and that the H-1B program puts the interests of Americans first.”
The H-1B visa programme allows US companies to employ foreign workers in specialised occupations. It is widely used in sectors such as information technology, engineering, and finance.
The programme has faced scrutiny over the years over allegations of misuse, including fraudulent sponsorships and the use of shell companies. Authorities have increased enforcement efforts in recent years to ensure compliance while preserving access to skilled labour.
