Texas Attorney General Launches Investigation into H-1B Visa Firms Amid Abuse Allegations
In a significant development concerning the H-1B visa program, Texas Attorney General Ken Paxton has ordered an investigation into three H-1B firms following allegations of fraudulent practices. This move comes after journalist Sara Gonzales, in her investigative report, claimed that these firms, which appear in USCIS records, have no actual operational presence on the ground.
Details of the Allegations and Investigation
Gonzales highlighted two Indian-origin companies in her report, alleging that their listed offices are either vacant or residential addresses with no employees working there. While some industry observers noted that this might reflect the typical modus operandi of H-1B staffing companies or IT bodyshops—which supply H-1B workers to other companies without having their own core functions—the Texas Attorney General has taken decisive action. The investigation seeks detailed information from these companies regarding their employees, products, and services to verify their legitimacy.
Immigration Attorney Chand Parvathaneni Responds to the Probe
Immigration attorney Chand Parvathaneni, who recently gained attention due to a viral but refuted claim that he filed 700,000 H-1B applications in 2025, has spoken out about the investigation. In a statement, Parvathaneni welcomed the government-led probe, emphasizing that it is a more appropriate approach than social media accusations. He stated, "Bad actors should be punished, but a few bad actors do not represent those who follow the law."
Parvathaneni clarified the role of immigration attorneys in the H-1B process, noting that they do not have financial or ownership interests in client companies, do not guarantee approvals, and maintain consistent fees regardless of case outcomes. His statement read, "Our role is limited to preparing and filing petitions based on information provided by employers. We do not control client companies, nor do we have visibility into their day-to-day operations. Employers operate independently, and compliance ultimately rests with them."
Calls for Regulatory Reform and Due Process
The attorney further argued that the current H-1B regulations, drafted in the 1990s, are outdated and do not adequately address today's workforce realities or the impact on the U.S. labor market. He stressed the need for reform, advocating for thorough government investigations to identify violations and ensure accountability. "Government investigations, not social-media accusations, are the appropriate way to isolate violations and ensure accountability by finding the real culprits," Parvathaneni added.
He pointed out that the government possesses the necessary tools, authority, and resources to audit companies, review operations, verify LCA compliance, confirm wage payments, and examine financial records. Such measures, he believes, protect due process, uncover fraud where it exists, and preserve the integrity of the H-1B program.
Broader Implications for the H-1B Visa Program
This investigation underscores ongoing concerns about H-1B visa abuse, particularly involving staffing firms that may not have genuine business operations. The case highlights the challenges in regulating a program that is critical for bringing skilled foreign workers to the U.S., especially in the tech industry, while preventing exploitation and fraud.
As the probe unfolds, it may prompt wider scrutiny of H-1B practices across other states, potentially leading to policy changes or enhanced enforcement mechanisms. Stakeholders, including immigration attorneys and employers, are watching closely, as the outcomes could shape future compliance requirements and the overall perception of the H-1B system.
