Infosys has acknowledged the risk flowing from an American employee Jay Palmer's accusation that it has committed visa fraud.

As noted by blogger Don Tennantm, in a filing to the U.S. Securities and Exchange Commission, Infosys has taken note of the visa and tax fraud lawsuit filed in February by Jay Palmer.

As quoted by Don, Infy says:

Recently, one of our employees filed a lawsuit against us which alleged, among other things, that we were improperly utilizing the U.S. B-1 business visitor visa program. Following the filing of such lawsuit, a United States senator submitted a letter to U.S. Secretary of State and Secretary of Homeland Security, requesting that their respective departments review the B-1 business visa program and investigate the manner in which it is being utilized by companies, including Infosys. In the event that the U.S. government undertakes any actions which limit the B-1 business visa program or other visa program that we utilize, this could materially and adversely affect our business and results of operations.