Texas investigators have begun an investigation into claims that local businesses have improperly used H-1B visas. The Texas Office of the Attorney General has confirmed that civil investigative demands have been issued to three North Texas firms which must provide detailed documents about their business operations and hiring practices and financial transactions. Investigators believe these companies established fake companies to unlawfully acquire H-1B visas through their fraudulent activities.

Attorney General Ken Paxton stated that the investigation serves as a component of a comprehensive initiative which aims to achieve U.S. immigration law compliance while safeguarding job prospects for local residents. The authorities have not yet revealed which companies they are investigating.

Texas Governor Greg Abbott has established a statewide H-1B visa suspension which will remain in effect until May 31, 2027. The order prohibits government agencies and universities throughout Texas from conducting business operations. Governor Abbott decided to suspend the program because he observed widespread public opinion that the program experienced misuse which resulted in negative employment outcomes for American workers.

The H-1B program investigation together with the visa suspension represents increasing public examination of H-1B visa programs across the United States because people suspect fraud and mistreatment occurring in the technology and service industries.