The U.S. government is seeking $4.9 million from South Plainfield, NJ-based Vision Systems Group for their fraudulent use of the H-1B visa program.
The government has accused Vision Systems of creating a shell company in Iowa (where the prevailing wage is low) to hire H-1B workers. These H-1B workers were then transferred to other Vision Systems offices around the country but were still paid the Iowa wage. This is significant because employers are supposed to pay H-1B workers the "prevailing wage" of the area where they are working.
The government is seeking $4.9 million, which "represents the total amont of gross proceeds obtained as a result of the offenses."
Vision Systems, however, disputes the charges. Mark Weinhardt, an attorney for the indicted company, says the indictment "is based on a number of misconceptions about immigration law and procedure."
If the government's prosecution is successful, the $4.9 million fine will be the largest H-1B fraud case ever brought by the government.
Vision Systems is also accused of "benching," or not paying, H-1B holders and allowing them to live in a guest house with other benched workers.
Click here to read more about this case.
Updated: Wed, Sep 2nd 2009 @ 1:09pm EDT