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Cato Report Accuses Trump Administration of $1 Billion Immigration Fee 'Fraud' as Applications Stall

The think tank says recent restrictions have left about 2 million cases unprocessed.

Overview

  • Cato links the allegation to an expanded travel ban covering 40 countries, a freeze and retroactive reviews of immigration benefits, and a State Department pause on visa processing for 75 countries, alongside a broader freeze affecting applicants from 92 nations.
  • The analysis estimates the combined measures imperil roughly 2 million applications and involve more than $1 billion in fees paid by applicants and U.S. sponsors for benefits not being adjudicated.
  • Author David J. Bier writes that agencies are declining to process many cases and alleges consular officers have been instructed not to inform future applicants that they are banned.
  • The State Department policy announced in January cited alleged excessive welfare use and followed viral claims about Somali immigrants in Minnesota defrauding benefit programs.
  • A coalition of immigrant advocacy groups and U.S. citizen plaintiffs sued last month to challenge the State Department pause, arguing the policy is baseless and discriminatory and has separated mixed-status families.