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Infosys to pay US$34m for US visa fraud and abuse

Indian technology giant deliberately brought in temporary workers as business visitors to save costs and avoid delays, court documents say

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Indian tech giant Infosys agreed to pay US$34m over visa fraud and abuse. Photo: Reuters

Infosys, the giant Indian technology outsourcing company, has agreed to pay US$34 million in a civil settlement after US federal prosecutors in Texas found it had committed "systemic visa fraud and abuse" when bringing temporary workers from India for jobs in US businesses, according to court documents.

The payment is the largest in a visa case.

After an investigation of more than two years, prosecutors were planning yesterday to unveil the settlement as well as its accusations that Infosys "knowingly and unlawfully" brought Indian workers into the US on business visitor visas since 2008, avoiding the higher costs and delays of a longer-term employment visa.

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They will say that Infosys systematically submitted misleading information to US immigration authorities and consular officials to obtain the faster visas, unfairly gaining a competitive edge and undercutting American workers qualified for the jobs.

Federal investigators also found extensive omissions and errors in the hiring records Infosys was required to keep, which could have allowed thousands of Indians to continue working after their visas had expired.

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The lead prosecutor in the case, Shamoil Shipchandler, an Assistant US Attorney in the Eastern District of Texas, said he could not comment.

Infosys has steadfastly denied any accusations of visa abuse and fought the case vigorously.

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