H-1B Seekers Can Take Legal Action Due to Alleged Employer Fraud

A federal judge found that H-1B holders can pursue legal action over possible visa revocation without proper notice due to their employer’s alleged fraud. Per Judge Chun in the U.S. District Court for the Western District of Washington, individual H-1B holders have a legal basis to take legal action to retain their visa. In the mfeatter, an H-1B visa holder who worked for an employer charged with visa fraud, and found guilty, is at risk of losing their visa. In the specific matter, the fraud occurred more than 15 years prior, and the visa holder is no longer employed by that employer.

In the case, the H-1B holder states that U.S. Citizenship and Immigration Services (USCIS) failed to provide sufficient notice of its intent to revoke the visa and is, in essence, holding him accountable for the employer’s fraud. USCIS admits the fraud was committed by the president of the employer, not the individual, but they still intend to revoke the previously granted H-1B visa.

USCIS enacted several updates to the H-1B lottery process for the FY2025 lottery to crack down on fraud and abuse. Specifically, the updates target entities who submit duplicate registrations for an individual worker to increase the odds of being selected. In this case, the employer is a third-party contracting company, placing selected H-1B visa holders at various companies to fulfill employment contracts. Further proposed updates to the H-1B program include requiring contracting firms to complete site visits and provider greater review of third-party job requirements.

Per the H-1B holder, USCIS violated the Administrative Procedure Act as they did not provide an opportunity for the visa holder to respond. In addition, claims of fraud against the individual visa holder are not supportable from evidence.

For employment visa holders, few legal options exist as the visa belongs to the employer. However, establishing the individual visa holder as an affected party rather than an extension of the employer is a necessary step to protect individuals who are not actively involved in the fraud.

ILBSG continues to monitor ongoing developments to U.S. immigration law. If you have questions about the H-1B visa, or any other U.S. immigration related issue, contact us. We work with our clients to ensure they get the right advice for their particular situation.