California Attorney General to Pay $ 8 Million to Settle Infosys Charges

- He was brought to the United States on an ineligible visa to pay employees less and avoid tax: Attorney General

Washington / New Delhi, Ta. 18 December 2019, Wednesday

The country's leading IT company, Infosys, has agreed to pay $ 2,5,000 to settle allegations of tax fraud and false classification of foreign workers, official said.

California Attorney General Xavier Becerra has said that Infosys will pay $ 8 million to settle the charges. Allegations indicate that between 3 and 5 employees of the company were employed on B-2 visas instead of H-1B visas. Infosys avoided paying California payroll taxes because of this false classification. These include unemployment insurance, disability insurance and employment training tax.

The official statement states that the company has to pay the prevailing local wages on the H-1B visa. Becerra said he was brought to the United States on an ineligible visa to pay employees less and avoid tax.

However, Infosys has denied the allegations, saying he did nothing wrong. The company informed the stock market on Wednesday that it was ready to reach an agreement with the California Attorney General.

Infosys has stated that we are ready to make an agreement to avoid time, cost and legal process over allegations over 6 years old. The company has stated that the deal will close the case. Infosys further stated that it adheres to robust policies and procedures to ensure compliance with all rules and regulations.