Following up on a story we reported on in February 2009, the two owners of the now defunct IT services firm Vision Systems pleaded guilty to mail fraud in connection with submitting a fraudulent H-1B petition, and they were sentenced to three years of probation and ordered to pay $236,250 in restitution to USCIS.

Vision Systems and its owners Viswa Mohan Mandalapu Chandra Mohan Rao Mandalapu, who are brothers, originally were indicted on multiple counts related to H-1B and green card fraud and the government had sought $7.4 million in assets to be forfeited.

The men are accused of filing H-1B petitions for workers through a shell company called Venturisoft in Iowa, although no jobs existed there. Rather, the H-1B employees were sent to other states to work. Iowa has a lower prevailing wage than such states as California, Texas and Boston.

In October 2010, the men negotiated a plea agreement with federal prosecutors, avoiding the maximum penalties, which includes imprisonment.

A copy of the plea agreement is available here.

Check our blog regularly to track the latest on criminal prosecutions against employers for H-1B and work visa fraud.