H-1B visas: US bans four companies from hiring foreign workers; here’s why and what Indian applicants need to know
U.S. Department of Labor (DOL) Revises List of Employers Prohibited from Engaging in Illegal Activities H-1B visa program, designating four companies as “willful violators” for serious violations of H-1B regulations.
The revised list, effective July 1, 2026, includes GowraTech, LLC, Renotek Group LLC, Seeloz, Inc. and Sherwood at Mount Dora, Inc. operating as Sherwood Academy. All four entities are prohibited from filing H-1B petitions during the designated bar period, which extends to 2027 or 2028, depending on the circumstances.
This action is part of a wider review H-1B U.S. authorities have stepped up investigations into visa fraud and labor law violations.
Who are called willful offenders?
This term is more significant than a standard compliance violation. According to the Department of Labor (DOL), a “willful violator” is one who has committed an employer’s willful violation as determined through procedures of the Department of Labor or Justice. H-1B Violating labor conditions regulations or misrepresenting material facts when submitting a Labor Conditions Application (LCA).
Violations may include: Demonstrate that employment of H-1B workers will not result in the displacement of U.S. workers.
Make a sincere effort to prioritize bringing in American workers.
Expand job opportunities to equally or more qualified U.S. workers if suitable candidates become available.
Demonstrate that assigning H-1B workers to third-party workplaces will not result in the displacement of U.S. workers.
Additionally, during this period, the company may be subject to random investigations by the Department of Labor.
The Wage and Hour Division maintains a list of employers found to have committed willful violations. H-1B program.
Gaola TechnologyLLC – Disqualified from May 12, 2025 to May 11, 2027
Renotech Group LLC – Disqualified from August 8, 2025 to August 7, 2027
Silez, company-Banned from March 4, 2026 to March 3, 2028
Sherwood Inn at Mount DoraInc. dba Sherwood Academy – Disqualified from May 26, 2026 to May 25, 2028.
Should Indian H-1B applicants be worried?
For most Indian professionals, the answer is no. The revised list only applies to employers listed on the Department of Labor’s prohibited register. If you plan to apply for an H-1B visa, it is recommended that you verify whether your potential employer has the authority to sponsor foreign workers.
Can these companies still hire workers?
Currently, these companies are unable to hire H-1B workers. The four companies mentioned above have been disqualified, meaning they are temporarily prohibited from submitting new H-1B visa The petition is filed throughout the barring period. The restriction is not a permanent ban but will remain in effect until a specified end date unless changes are made by U.S. authorities.
What additional regulations are imposed on willful offenders?
Employers found to have committed willful violations will still be subject to heightened scrutiny even after the debarment period ends. They need to prove:
They are not displacing American workers during the hiring of H-1B workers.
They have verified whether client companies plan to replace U.S. workers with H-1B workers.
They make a good faith effort before hiring American workers.
They provide job opportunities to U.S. applicants who are equally or more qualified before hiring H-1B workers.
Additionally, the Department of Labor has the authority to conduct random investigations for up to five years after an employer is designated as a willful violator.
