US launches H-1B visa fraud probe; Cognizant among IT firms under scanner

The Trump administration has intensified its crackdown on H-1B visa fraud, with Cognizant named in an expanding federal investigation into employment-based visas

PGurus Newsdesk

July 9, 2026

The Trump administration has launched a major investigation into alleged H-1B and PERM visa fraud, issuing dozens of subpoenas with Cognizant among the companies under scrutiny

Trump administration has launched a wide-ranging investigation into alleged H-1B and PERM visa fraud

The United States has launched a major investigation into alleged fraud involving H-1B and PERM employment-based visa programmes, with IT services giant Cognizant among the companies named as being under scrutiny.

The probe is being led by the US Department of Labor’s Office of Inspector General under the Trump administration’s Task Force to Eliminate Fraud, headed by Vice President JD Vance. Investigators have already issued dozens of subpoenas as part of the ongoing inquiry.

Cognizant among firms under scrutiny

US Labor Department Inspector General Anthony D’Esposito said whistleblower complaints have prompted investigators to examine several major companies, including Cognizant.

Speaking to Fox Business, D’Esposito said authorities have already begun issuing subpoenas and are pursuing every lead related to alleged misuse of the H-1B and PERM visa programmes.

“We’ve already started to issue dozens of subpoenas. We are going to make sure that we track down every lead,” he said.

JD Vance vows crackdown on visa fraud

Vice President JD Vance said the Trump administration is determined to ensure that employment-based visa programmes are not exploited at the expense of American workers.

Speaking in Milwaukee, Wisconsin, Vance said the H-1B programme was created to attract highly skilled professionals such as scientists, doctors and technology experts, but alleged that some companies were misusing it to suppress wages.

“American jobs ought to go to American workers and not foreign fraudsters,” Vance said, adding that the Department of Labor had already initiated dozens of investigations and subpoenas.

Focus on H-1B and PERM programmes

The investigation covers both the H-1B visa programme and the PERM labour certification process, which employers use to sponsor foreign workers for permanent residency.

Authorities are expected to examine visa filings, salary disclosures, job descriptions, client contracts and compliance with labour regulations as part of the probe.

What it means for Indian professionals

The development is significant for India, whose nationals receive the largest share of H-1B visas each year, particularly in the technology sector.

If the investigation expands, Indian IT companies operating in the US could face increased compliance checks, audits, site inspections and greater scrutiny of visa applications.

While the probe is not expected to halt H-1B approvals, immigration experts believe it could result in longer processing times, additional documentation requirements and increased uncertainty for both new applicants and those seeking visa renewals.

H-1B remains key route for skilled workers

The H-1B programme allows US employers to hire foreign professionals for specialised roles requiring advanced skills and qualifications.

Under current law, the programme is capped at 65,000 visas annually, with an additional 20,000 visas reserved for applicants holding advanced degrees from US universities.

According to immigration advocacy group FWD.us, around 730,000 H-1B visa holders currently live in the United States, along with nearly 550,000 dependents, including spouses and children.

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