Infosys Pays $1 Million to Settle Allegations of US Visa Violations

Prosecutors alleged that the Indian firm used B-1 visas to place foreign workers at client firms in the United States. Infosys has denied the allegation but agreed to pay the fine.

Infosys US

Indian IT services firm Infosys has reached a US$1 million settlement with the state of New York over allegations that it abused US visa laws.

The Bangalore, India-based firm was also accused of placing foreign workers at client sites in New York State.

The prosecutors said they acted on a whistleblower’s claim that Infosys routinely brought foreign IT personnel into New York to perform work, which is in violation of the terms of their visas.

“To perform the services offered by Infosys in New York State, its foreign workers needed H1B visas. But in order to avoid the difficulty and expense of obtaining such visas, (….) Infosys knowingly and unlawfully obtained temporary visitor visas (B-1 visas),” says the office of Attorney General Eric T. Schneiderman in a statement.

Employees allegedly sought B-1 visas at consular offices showing invitation letters from the United States. But the invitation hid the true purpose of the employees’ visit, the prosecutors alleged.

Infosys has refused to admit any wrongdoing. “This investigation was centered on alleged paperwork errors, the company committed no wrongdoing and denies all allegations made in this regard,” Infosys said in a statement.

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This is not the first time the company has paid a fine in the United States. In 2013, it coughed up a record $34 million to settle similar allegations of visa violations.

As recently as two months ago, Argentine information technology firm, Globant, also agreed a similar settlement with U.S. prosecutors.