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U.S. Employment Fraud: How Thousands of Foreign Students Allegedly Remain in the Country Through Fake Jobs

ICE raises alarm on fraud targeting the federal STEM Optional Practical Training extension program
Source: MEGA

ICE raises alarm on fraud targeting the federal STEM Optional Practical Training extension program

May 14 2026, Published 5:02 a.m. ET

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U.S. Immigration and Customs Enforcement was recently alerted to suspected fraud involving a federal visa employment program. According to officials, investigators have identified thousands of foreign students who allegedly extended their stays while being listed as employees of companies that may not exist.

Todd Lyons referred to concerns surrounding the STEM Optional Practical Training program. The policy was originally designed to allow certain international students on F-1 visas to work temporarily in the United States in jobs related to their field of study. However, officials now say the program is at risk of abuse and may be used by some participants to remain in the country longer than intended.

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ICE Investigates Guest Workers In Fake Companies

Todd Lyons further remarked that his agency has already identified close to 10,000 international students who have falsely claimed to be working for highly suspicious employers. These guest workers never returned home and continued to stay in the United States.

He added, “OPT ballooned into an uncontrolled guest worker pipeline with hundreds of thousands of foreign students working in the United States. Today, we are announcing we have identified over 10,000 foreign students who claim to be working for highly suspect employers, and that’s just among the top 25 OPT employers. This is only the tip of the iceberg.”

Source: X.com/@JennieSTaer

ICE discovers fake foreign students misusing OPT and overstaying in the U.S.

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ICE Scans Through Fake Addresses And Non-Leased Facilities

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Lyons spoke at a press conference on May 13 and shared details of how far the fraud of misusing OPT has gone. He revealed that several HSI officers, as part of the investigation, visited the questionable OPT worksite employers.

Surprisingly, on their visit, they found abandoned buildings and locked doors in addresses where thousands of OPT students are supposedly employed. In many other cases, HSI officers discovered that many of the students operate either from a single residential address or a facility that they have acquired without any lease.

When questioned, these dubious students have often resorted to giving inconsistent statements. Some even claim that they do not know the business, yet they apparently have benefited from the OPT program.

The federal department claimed that the densely populated spots of these fake OPT schemes have been spread across various cities. These include NYC, New Jersey, Virginia, Texas and more.

On the other hand, some of the employers that these international students allegedly work for also happen to be non-governmental organizations, and not only private companies.

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Phantom Employees Misuse Scope Of Work Under OPT

Lyons also spoke about stumbling upon many foreign students who obtained work permission through OPT. But they never showed up to actually work at the sites they were required to.

The ICE Director stated, “This is not accidental. This is deliberate, coordinated and criminal. This fraud is not victimless. It is a blatant attack on the goodwill of the American people."

In the wake of these recent findings, the Vice President issued a stern statement. JD Vance applauded the efforts taken by the ICE. He reinstated the country’s firm stance on foreign nationals choosing to misuse the goodwill of America.

Taking to X, he wrote, “Another great win for our fraud task force. We will not tolerate foreign nationals abusing our visa system at the expense of the American people.”

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