Texas Attorney General Ken Paxton has announced a major statewide investigation into alleged widespread abuse of the H-1B visa program, starting with civil investigative demands (CIDs) issued to three North Texas businesses accused of creating sham companies with fake websites, nonexistent products or services, and empty office buildings to fraudulently sponsor foreign workers. The probe aims to crack down on visa fraud that critics say displaces American workers, suppresses wages, and exploits the immigration system.

In a press release, Paxton stated that his office is pursuing a broad review of H-1B program usage by Texas companies. The initial focus targets three entities identified through widely circulated online videos and investigative reports showing suspicious activity. These allegedly include corporate websites advertising goods or services that do not exist, single-family homes listed as company headquarters, vacant or unfinished buildings used as “office” addresses, and little to no evidence of actual business operations despite sponsoring large numbers of H-1B visa holders in recent years.

Paxton emphasized the seriousness of the alleged fraud: “Any criminal who attempts to scam the H-1B visa program and use ‘ghost offices’ or other fraudulent ploys should prepare to face the full force of the law. Abuse and fraud within this program strip jobs and opportunities away from Texans. I will use every tool available to uproot these schemes and hold accountable any individual or company engaged in them.”

As part of the investigation, the AG’s office issued Civil Investigative Demands to the three companies, requiring them to produce extensive documentation, including employee records, financial statements, communications related to company operations, and evidence of products or services actually provided. Paxton’s office stated it will pursue all available civil and criminal remedies to protect American workers and uphold the integrity of the immigration system.

Paxton’s action follows years of criticism from figures such as President Donald Trump, who has repeatedly called for H-1B reform to prioritize American workers, as well as recent exposés highlighting “ghost offices” and fake job postings tied to visa mills.

Texas, home to major tech corridors in Dallas-Fort Worth, Austin, and Houston, has seen significant H-1B usage in recent years. Paxton’s probe positions his office at the forefront of red-state scrutiny of federal visa programs, with the potential for multistate coordination or federal referrals if criminal activity is uncovered. No specific company names were released, though the reference to viral videos and “single-family homes” as corporate addresses matches recent social media investigations into North Texas H-1B sponsors.

The investigation is ongoing, with Paxton vowing to use “every tool available” to protect Texas jobs and hold violators accountable, signaling aggressive enforcement on visa compliance and employment integrity.