U.S. Regulators Probe India's Infosys Over Visa Misuse

U.S. investigators are probing Infosys Technologies (NASDASQ:INFY) to determine whether the Indian software giant violated America visa laws by placing its foreign employees in temporary jobs located in the U.S.

The visas involved in the subpoena are B1 business visas, which allow companies to send their employees to the U.S. for short-term purposes, such as business conventions or consulting.

The probe is examining whether Infosys used the visas, which are inexpensive and easier to obtain, instead of the appropriate harder-to-get work visas to bring employees over to the U.S. for longer-term stays, according to a report by the Wall Street Journal.

The company, which received the subpoena from a grand jury in the U.S. District Court for the Eastern District of Texas requiring it to provide information to the grand jury regarding its uses of B-1 visas, said it intends to comply and cooperate with the investigation.

Among other things, Infosys provides information technology and consulting services to Western clients. It also provides outsourcing solutions.