International students are facing growing uncertainty after federal immigration officials said they had identified more than 10,000 potential fraud cases tied to the Optional Practical Training program, known as OPT, which allows foreign students to work legally in the United States for a limited period after graduation.
The crackdown comes as the Trump administration has tightened student visa oversight and raised scrutiny of major employment-based visa programs, including H-1B, increasing anxiety among foreign students hoping to work and settle in the United States.
Acting ICE Director Todd Lyons said at a May 12 press conference that Homeland Security Investigations agents conducted site visits in multiple states, including Texas, Georgia, Illinois, New York and Florida, and found numerous potential violations involving employers that had reported hiring OPT students.
According to immigration officials, investigators found cases in which listed company offices were empty, closed or not operating as legitimate worksites. Some students were also allegedly receiving instructions from personnel based in India rather than from U.S.-based employers.
Lyons said OPT is supposed to provide real training and supervision at U.S. worksites, but investigators found companies that appeared to fall short of those basic requirements. Officials also said some shell companies may have created fake employment relationships to help foreign students remain in the United States, potentially involving financial fraud and immigration violations.
OPT allows F-1 student visa holders to work temporarily in a field related to their studies after graduation. Many international students use the program as a bridge to H-1B employment visas, but recent immigration policy changes have made that pathway more difficult.
The latest investigation is expected to renew debate over foreign student work programs, including OPT and H-1B. Immigration hardliners have long argued that the programs displace American graduates and give companies a way to hire lower-cost foreign labor.
OPT had already been viewed as a major enforcement target under the Trump administration. Immigration officials have increased scrutiny of foreign student visa holders, and lawsuits have followed in cases where students alleged their status was improperly terminated.
The pressure is also affecting U.S. higher education. New foreign undergraduate enrollment at U.S. colleges dropped by an average of 20% this spring from a year earlier, according to a study by a coalition of education groups cited by Bloomberg. The survey covered 149 U.S. institutions.
According to the same survey, 62% of responding schools reported declines in both undergraduate and graduate international enrollment from last spring, while 84% cited government policy as a major reason for the drop. More than one-third said the decline in international students could lead to budget cuts.
Education groups warn that continued visa restrictions and enforcement uncertainty could further weaken international student demand, placing financial pressure on universities that rely heavily on foreign student tuition.
