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New US Bill Proposes $250,000 Fine and 10-Year Ban for Serious H-1B Violations

A new bill in the US House of Representatives proposes much higher penalties for certain H-1B violations. The H-1B Visa Fraud Crackdown Act (H.R. 10643) was introduced on October 1, 2026. Representative Beth Van Duyne introduced it with five other Republican lawmakers. It has been referred to the House Judiciary Committee. It is not law yet. It must pass Congress and be signed by the President first.

For one category of serious violations, the maximum fine would rise from $35,000 to $250,000. The minimum ban on an employer using the H-1B programme would rise from three years to 10 years. For another category, the penalty would rise from $5,000 to $100,000. The minimum ban would rise from two years to five years. The bill amends Section 212(n)(2)(C) of the Immigration and Nationality Act.

It also raises document fraud fines. One category would go from $250-$2,000 to $1,000-$10,000. A more serious one would go from $2,000-$5,000 to $20,000-$50,000.

The bill matters for Indian professionals and tech firms, given India’s large presence in the programme. But it does not raise fees for ordinary H-1B applications. It does not penalise all visa holders. It targets employers.

Immigration Analytics said the bill is narrower than the headlines suggest. It does not change visa numbers, eligibility or filing fees. It asks what it should cost to break the rules.

The group said staffing and consulting firms could be hit hardest. A five- or 10-year ban could stop a firm that relies on H-1B sponsorship from running that business. It also said the bill does not change the standard for “willfulness”, so that could become a bigger dispute. The bill also adds no new enforcement agencies, funding or investigative powers.

Source: Business Standard

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