KEY TAKEAWAYS
- Vice President JD Vance and the Department of Labor’s inspector general announced a sweeping investigation into fraudulent abuse of U.S. work visas by foreign nationals
- Labor Department officials have issued dozens of subpoenas targeting alleged schemes that have cost the medical industry hundreds of millions of dollars
- Department of Homeland Security assessments found approximately 21% of H-1B petitions were fraudulent
- Investigators are examining cases involving forced-labor networks, human trafficking, and displacement of American workers
Vice President JD Vance announced Wednesday that the Trump administration is launching a comprehensive investigation into widespread fraud within America’s work visa system, targeting foreign nationals and employers who exploit programs designed to attract specialized talent. The probe, conducted jointly with the Department of Labor’s inspector general, represents a significant enforcement push to protect American jobs from what officials describe as systematic abuse by corporate fraudsters and international criminal networks.
The Investigation Scope
Speaking at an anti-fraud event in Milwaukee, Vance declared the administration’s commitment to ensuring “American jobs … go to American workers and not foreign fraudsters.” Labor Department officials have already issued dozens of subpoenas as part of the investigation targeting suspected schemes across multiple employment sectors.
“This is a visa program that was set up to ensure that if you were a brilliant technology person or a brilliant scientist or a brilliant doctor, you could come to the United States and get access to this visa program,” Vance explained. “But you know, what’s happening way too much is that big corporations and fraudsters overseas are using this program to undercut the wages of American workers. What we’re doing in the Trump administration, we’re saying, ‘No more.'”
What Labor Department Officials Said
Labor Department Inspector General Anthony D’Esposito detailed the severity of the violations uncovered, stating investigators have “uncovered widespread schemes in which employers and labor brokers submitted fraudulent applications, exploited foreign workers through coercive wage-kickback arrangements, and undercut American workers by flooding the market with below-wage labor.”
D’Esposito told Fox Business that the schemes have drained the U.S. medical industry of hundreds of millions of dollars while affecting other sectors. “This is another example where fraud is fueling violent crime,” D’Esposito said. “This visa fraud is tied to cartels, is tied to transnational gangs. This is not just people working in factories or actual labor. These are people working in medical facilities and doctors’ offices that are actually putting people in harm’s way.”
The inspector general confirmed that investigators are examining both H-1B visa holders and employment-based green card recipients, reviewing cases where foreign workers may have improperly displaced American employees or obtained immigration benefits through fraudulent means.
The Scale of the Problem
Department of Homeland Security assessments have revealed alarming fraud rates within the visa system. Approximately 21% of H-1B petitions were found to be fraudulent, according to government data reviewed by The Post. Some operations under investigation allegedly involve forced-labor networks and human trafficking organizations operating across multiple states.
The H-1B visa program permits U.S. employers to hire foreign workers for specialty occupations requiring specialized knowledge and at least a bachelor’s degree. The PERM labor certification process allows employers to sponsor workers for green cards after demonstrating they cannot fill positions with qualified American workers.
Who Uses These Visas
According to Pew Research Center data, approximately 73% of H-1B recipients originate from India. More than half hold master’s degrees, with the largest concentration working in computer programming, software development, data communications and technical support fields.
Major technology companies including Amazon, Google, Meta, Microsoft and Apple rank among the largest employers of H-1B visa holders. The program also supplies workers to healthcare, manufacturing and higher education sectors. California, Texas, New York, Illinois and Washington receive the largest share of approved H-1B petitions.
The number of approved H-1B petitions reached 442,425 in 2022 under the Biden administration, according to Pew Research analysis-a surge that coincided with increased fraud allegations.
Fox News Digital / CelebBNews contributed to this report.