Federal prosecutors in Dallas last year unsealed an indictment that accused two local men and their associated businesses of running a yearslong immigration fraud operation built around employment-based visa programs, including H-1B. Today, Gov. Greg Abbott seized on the case, celebrating it as a federal “crackdown” on H-1B fraud and again asserting that he has already stopped state agencies from applying for H-1B workers.
The indictment, filed May 23, 2025, charges Abdul Hadi Murshid and Muhammad Salman Nasir with conspiracy to defraud the United States, visa fraud, money laundering and a RICO conspiracy, according to a U.S. Department of Justice press release. Prosecutors say the scheme relied on sham job advertisements, bogus Department of Labor certifications and fraudulent EB-2, EB-3 and H-1B petitions, as laid out by The Dallas Morning News.
Abbott's Post And The Governor's Claim
On X, Greg Abbott declared, "Finally, the feds are cracking down on their H-1 B visa fraud in Dallas," tying the federal case to what he describes as his own crackdown at the state level. He said he had halted state entities from seeking H-1B hires and added, "More to come on this," hinting that he intends to keep the spotlight on visa enforcement.
Finally, the feds are cracking down on their H-1 B visa fraud in Dallas.
— Greg Abbott (@GregAbbott_TX) March 10, 2026
H-1B visas are issued only by the federal government.
That said, I was the first Governor to halt any state entity from applying for H1B visa workers.
More to come on this. https://t.co/OfE2stqjo5
State Scrutiny Ramps Up
Abbott's online victory lap comes after months of mounting scrutiny over H-1B sponsorships inside Texas. On January 28, Texas Attorney General Ken Paxton announced a broad investigation into alleged H-1B abuse in North Texas, saying his office had issued civil investigative demands to three companies. Paxton's statement accused those firms of relying on "ghost offices" and hollow websites to work the system and warned that the state would wield its enforcement tools against suspected fraud, according to the Texas Attorney General.
What The Indictment Alleges And Potential Penalties
The May 2025 indictment filed by the U.S. Attorney's Office for the Northern District of Texas says the defendants placed classified ads for jobs that did not exist to satisfy Department of Labor rules, then submitted petitions to U.S. Citizenship and Immigration Services along with matching permanent residence applications, according to the Justice Department. A contemporaneous summary from the Department of Labor's Office of Inspector General describes sham payroll arrangements and fabricated worksites that were allegedly used to make the operation look legitimate, and prosecutors say visa seekers paid money that was funneled back to them as fake wages; see the DOL Office of Inspector General summary. If convicted, the defendants face up to 20 years in prison on the most serious counts, and one defendant could face denaturalization, according to the government.
Local Context And What's Next
Hoodline covered the original indictment last May; visa fraud and RICO conspiracy sketches out the local angle. Federal court proceedings, along with any follow-up from state investigators, will determine whether Abbott's applause for prosecutors translates into convictions or new policy moves, and the governor has already signaled he expects more developments ahead.
