The Trump administration has been accused of running a $1 billion scam on immigrants, described as the 'largest fraud in the history of the U.S. immigration system' by a new analysis from the Cato Institute.
The study alleges that a combination of policies, including freezing visa and status applications for citizens of 92 countries, has led to the government collecting over $1 billion in fees for petitions it never intends to finalise. 'The government took their money, and now it won’t even adjudicate their applications—in many cases, it refuses even to issue denials,' said Cato immigration expert David J. Bier.
The alleged fraud stems from several new restrictions: an expanded travel ban affecting 40 countries; a freeze and retroactive review of applications for benefits like employment authorisation and permanent residency; and a State Department policy pausing visa processing for 75 countries, which the administration claims draw excessively from welfare systems. These policies affect people from countries that account for half of all legal immigrants to the US, imperilling an estimated 2 million applications.
A coalition of immigrant advocacy groups and US citizens has sued the administration, arguing the policy is based on false pretences, as most visa applicants are ineligible for welfare for years. Joanna Cuevas Ingram of the National Immigration Law Center said the policy mirrors 1920s-era racial immigration quotas, targeting non-white populations.
The Independent has contacted the White House and relevant agencies for comment. President Trump previously attempted to impose a mass travel ban on Muslim-majority countries during his first term.



