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H-1B fraud crackdown intensifies: Trump admin says ‘count your days’ as whistleblowers flood investigators with new tips

The US Labor Department warns of H-1B visa fraud, emphasizing whistleblower support for investigations amid expanded scrutiny. 

Published on: Sep 17, 2026, 10:01:05 IST
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The US Department of Labor’s Office of Inspector General has issued a fresh warning to those involved in H-1B visa fraud, saying whistleblowers and public tips are helping investigators uncover alleged abuses as the Trump administration expands its scrutiny of the foreign-worker program.

H-1B crackdown: Labor watchdog warns ‘fraudsters’ as whistleblowers flood investigators with new tips. (Representational File Photo)
H-1B crackdown: Labor watchdog warns ‘fraudsters’ as whistleblowers flood investigators with new tips. (Representational File Photo)

“Count your days,” DOL OIG said in a post on X on Wednesday, while highlighting its work with whistleblowers, members of the public and investigators to identify fraud. The agency said the effort is being carried out alongside the White House Task Force to Eliminate Fraud.

Inspector General Anthony D’Esposito said in remarks shared by the agency that the investigation is relying heavily on people who have worked for or been involved with what investigators describe as “visa mills”. He said the OIG’s hotline has received a surge of information following interviews and social media posts about the investigation.

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The warning comes as the Labor Department steps up its nationwide investigation into H-1B and PERM fraud. In July, DOL OIG announced an investigation into alleged fraud, human trafficking and abuse involving the programs, saying investigators had identified schemes involving fraudulent applications, wage kickbacks and labor brokers.

DOL says H-1B fraud probe is widening

D’Esposito said the investigation is not limited to the technology sector. He said investigators are also examining alleged abuses in healthcare and other industries.

The OIG’s own description of its foreign-labor investigations says it examines suspected fraudulent visa applications involving employers, immigration attorneys and labor brokers across H-1B, H-2A, H-2B and PERM programs. The agency also investigates potential labor trafficking connected to work-based visa programs.

The OIG has already conducted field checks as part of the H-1B investigation. During a visit to Dallas in August, investigators examined locations connected to companies that had received hundreds of approved H-1B petitions. At one multi-office building linked to more than 500 approved H-1B applications, the agency said many offices appeared inactive, with locked doors and lights turned off.

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D’Esposito cited that investigation while describing the broader probe as an effort to “peel back” layers of alleged fraud.

Cognizant, Cloudera face scrutiny

The inspector general also pointed to enforcement actions involving major companies. He said H-1B applications involving Cognizant and Cloudera had been suspended and suggested more companies could face action.

The Labor Department has separately announced a 180-day suspension of PERM processing for Cloudera following allegations that the company unlawfully discriminated against US workers.

The department said the action followed evidence obtained by the Justice Department alleging that Cloudera had designed a recruitment process that prevented qualified US workers from applying for certain technology jobs. Cloudera has faced a DOJ lawsuit over the allegations.

  • Asmi
    ABOUT THE AUTHOR
    Asmi

    Asmi is a Senior Content Producer primarily covering stories related to NRIs, immigration, visas, citizenship and global mobility. She closely follows developments that affect Indians living, working and studying abroad, with a particular focus on translating complex policies and international developments into clear, accessible stories for readers. As part of the US Desk, Asmi also reports on a wide range of political, economic and social developments in the United States, exploring their relevance to Indian and global audiences. Her work spans breaking news, features, trends and explanatory stories, with an emphasis on accuracy, timely reporting and audience-focused storytelling. Asmi likes finding the human angle behind major developments and bringing context to stories that can often feel complicated or distant. She is especially interested in stories around immigration, life abroad, careers, education and the experiences of the Indian diaspora, while also exploring a wide range of topics that spark curiosity and conversation. Outside the newsroom, Asmi is an avid reader and loves travelling, discovering new places, experiencing different cultures and collecting stories along the way.Read More