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Federal authorities, along with help from state level and local law enforcement, served search warrants at locations in Urbandale and Clive, Iowa; in Santa Clara, Rancho Cucamonga and Arcadia, Calif.; and in South Plainfield, N.J.

The investigation covers firms that sponsor principally H-1B non-immigrants, or temporary personnel in specialty occupations that call for particular skills. The businesses that happen to be the subject of the investigation have claimed that the foreign individuals have been brought to the U.S. to fill existing openings. However, the companies allegedly have not always had jobs available for these people, thereby putting them in non-pay status just after they arrive in the United States. In some cases, the foreign workers have allegedly been placed in positions and locales not previously authorized by the Department of Labor, displacing qualified American workers and violating prevailing wage laws. The employers and foreign workers have allegedly submitted false statements and documents in support of their visa petitions. The untrue statements and documents were mailed or wired to state and federal agencies in support of the visa applications. The businesses are suspected of visa fraud, mail fraud, wire fraud, money laundering and conspiracy.

U.S. firms utilize H-1B visas to employ foreign workers in specialised jobs that require theoretical or technical skills in specialized fields, such as scientists, engineers, or computer programmers. As part of the H-1B program, the Department of Homeland Security (DHS) and the Department of Labor (DOL) require U.S. employers to fulfill certain labor conditions to ensure that American workers are not negatively impacted, while the DOL’s Wage and Hour Division safeguards the treatment and compensation of H-1B employees. Congress sets a numerical limit for the entrance of skilled workers into the U.S. The present H-1B cap is set at 65,000 per fiscal year. H-1B aliens may work in the United States for three years, with an option for an additional three years (for a maximum of six years).

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