New US Bill Could Hit H-1B Violators With Rs 2.4 Crore Fine, 10-Year Ban

Employers in the US could soon face fines of up to $250,000 (around Rs 2.4 crore) for serious violations of the H-1B visa programme. A new bill introduced in the US House of Representatives proposes a sharp increase in penalties for companies found to have deliberately broken H-1B rules.

The H-1B Visa Fraud Crackdown Act was introduced on October 1 by Republican Representative Beth Van Duyne of Texas. The bill also proposes banning some employers from participating in immigration programmes for up to 10 years.

US Wants To Raise H-1B Violation Fines Sevenfold

The biggest proposed change is for serious violations involving the planned removal of American workers. The penalty for such violations could go up from $35,000 (approx. Rs 3.4 lakh) to $250,000 (Rs 2.4 crore). The minimum ban for employers found responsible would also increase from three years to 10 years, according to Newsweek.

For certain other wilful H-1B violations, the proposed penalty would go from $5,000 (approx. Rs 4.8 lakh) to $100,000 (approx. Rs 96 lakh). The minimum ban would increase from two years to five years.

The bill would also increase penalties for document fraud:

• One category of document-related violations, currently carrying fines of $250 to $2,000, would carry fines of $1,000 to $10,000.
• Another category, currently carrying fines of $2,000 to $5,000, would increase to $20,000 to $50,000.

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Massive Fine Hikes For Employers Misusing The Programme

Van Duyne has stated that the existing penalties are not enough to stop employers from misusing the H-1B programme.

In a statement to Newsweek, she said the programme had been "grossly abused" and pointed out that companies should face serious financial consequences if they deliberately break H-1B rules.

The bill was co-sponsored by five other Republican representatives from Texas: Brandon Gill, Pete Sessions, Keith Self, Brian Babin and Pat Fallon.

Widely used by Indian professionals working in the US, the H-1B visa allows US companies to employ foreign workers in speciality occupations. Now, these proposed fines are aimed at employers, not at employees simply holding an H-1B visa.

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For now, the bill has only been introduced in the House. It has been referred to the House Judiciary Committee and currently has five Republican co-sponsors.

For the proposed penalties to become law, the bill would have to pass both the House and Senate and then be signed by the president.