The United States government is under mounting criticism over allegations it collected more than $1 billion in immigration fees for services that were never delivered, affecting applicants both at home and abroad.
The claim was made by policy analyst David J. Bier during testimony before the Senate. He argued that current immigration measures have effectively halted application processing while authorities continue to collect fees.
“This is the largest fraud in the history of the US immigration system,” Bier told lawmakers. “It is likely the first $1 billion theft of processing fees for services never rendered.”
The controversy follows a series of policies introduced under president Donald Trump and implemented by immigration agencies. One of the measures restricts entry and limits visa approvals for citizens of about 40 countries, including Nigeria, Iran and Haiti.
According to reports, applicants are not informed of their ineligibility before attending interviews, meaning many still proceed and pay non-refundable fees.
Another policy extends restrictions to immigrants already living in the US, placing an indefinite freeze on applications for benefits such as work permits and permanent residency. The measure applies regardless of how long individuals have lived in the country.
In addition, the United States Department of State has suspended immigrant visa processing for nationals of 75 countries, citing concerns some migrants may rely on public welfare. Critics argue this approach violates existing laws, which require individual assessments rather than blanket restrictions based on nationality.
The diversity visa lottery has also been affected. Although applicants can still submit forms and attend interviews, visas are not being issued.
Combined, these policies impact nationals from 92 countries, many of which account for a significant share of legal immigration to the US. Estimates suggest around two million applications have been blocked, including more than 320,000 applicants abroad and over 500,000 within the United States.
Immigration processes often involve multiple fees. Sponsoring a spouse, for example, can cost about $2,675 for petitions, residency processing and work authorisation.
Lawmakers have expressed concern. Senator John Kennedy said he was “shocked” by the situation.
Bier urged Congress to intervene, calling for the immediate resumption of application processing and fair adjudication.
“If someone cannot establish their eligibility, they can be denied under the law,” he said. “But there is no reason to take people’s fees and fail to provide the service the law entitles them to.”
