Indian IT major Cognizant has come under scrutiny after the US Department of Labor launched a broad investigation into alleged fraud involving the H-1B and PERM work visa programmes. The Cognizant H-1B visa investigation is being conducted by the Office of the Inspector General (OIG) under the Department of Labor as part of the Task Force to Eliminate Fraud, an initiative led by US Vice President JD Vance.
The development follows remarks by Labor Department Inspector General Anthony D’Esposito, who identified Cognizant while discussing the ongoing probe into alleged visa-related abuses.
At this stage, US authorities have not accused Cognizant of wrongdoing. However, the company’s mention in discussions surrounding whistleblower complaints and visa-related investigations has placed it under increased scrutiny.
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pic.twitter.com/NER6vMidsr🚨 US Labour Department says it will launch probe into H-1B visa abuse into companies like IT firm Cognizant, which was founded in India
— Geo Frontline (@geofrontlinetv) July 9, 2026
Anthony D’Esposito says Cognizant mentioned in whistleblower complaints
While outlining the progress of the investigation, Labor Department Inspector General Anthony D’Esposito said authorities had already begun issuing subpoenas and following multiple leads.
“We’ve already started to issue dozens of subpoenas; we are going to make sure that we track down every lead. We have whistleblowers talking about some of the biggest companies like Cognizant, who have been sort of, you know, in the chatter of issues with PERM and H-1B visas,” D’Esposito told Fox Business.
His comments have drawn attention because Cognizant is among the largest users of US work visas among Indian technology companies and employs thousands of professionals in the United States.
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What the Department of Labor alleges in the investigation
According to the Labor Department’s OIG, investigators have identified what they described as widespread schemes involving employers and labour brokers.
The agency alleged that some employers submitted fraudulent visa applications, exploited foreign workers through coercive wage-kickback arrangements, and depressed wages by bringing in workers at rates below prevailing market levels.
“These abuses undermine the integrity of Department of Labour programs designed to address genuine labour shortages – not to line the pockets of bad actors at the expense of American jobs,” the department said in a statement.
The OIG also said the investigation aims to dismantle human trafficking and forced-labour networks that may be exploiting foreign guest worker visa programmes.
“The OIG is determined to root out every scheme that preys on vulnerable workers and takes jobs from American workers,” the statement added.
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JD Vance links H-1B probe to protecting American jobs
US Vice President JD Vance said the investigation forms part of a broader effort to prevent abuse of the H-1B visa programme and ensure employment opportunities are protected for American workers.
“We have a program called the H-1B visa program. We’re fighting for your taxpayer money but we’re also making sure that fraudsters don’t take advantage of these visa programs. This is a visa program that was set up to ensure that if you are a brilliant technology person or a brilliant scientist or a brilliant doctor, you could come to the United States and get access to this visa program,” he said.
Highlighting the administration’s enforcement efforts, Vance added:
“Today the Federal Department of Labor has started dozens of subpoenas and investigations into foreign fraudsters who are trying to take advantage of the H-1B visa program… American jobs ought to go to American workers and not foreign fraudsters.”
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