Infosys has made a filing of Form 20-F, an SEC filing submitted to the US Securities and Exchange Commission to provide information, as it feels new US visa laws may discourage customers from seeking services, and have an adverse effect on business, revenues, and operations of the company.
Indian software giant Infosys has, by filing Form 20-F to the US Securities and Exchange Commission, disclosed that the department of homeland security (DHS) has reviewed the eligibility verifications of some its employees' Form I-9 (the US Immigration and Citizenship Services Form), and found significant errors.
The company has pleaded that the new US visa laws may discourage customers from seeking services and have an adverse effect on business, revenues and operations of the company. As on March 31, the company had 10,800 H-1B visas and 1,600 L-1 visas.
The Form I-9 is used for verifying the identity and employment authorisation of individuals hired for employment in the United States. All US employers must ensure proper completion of Form I-9 for each individual they hire for employment in the United States.
In the filing, Infosys added that the DHS may impose fines and penalties related to such alleged errors. The DHS recently advised continued investigation into B-1 visas and added that additional subpoenas may be issued, Infosys said.
"While we are talks with the US Attorneyâ€™s office, we are unable to predict the final outcome of these investigations and estimate the losses incurred in connection with the resolution of these matters."
Infosys received a subpoena on May 23, 2011 from the US Grand Jury over allegations of visa misuse.
Infosys stock price
On February 27, 2015, Infosys closed at Rs 2266.35, up Rs 6.85, or 0.30 percent. The 52-week high of the share was Rs 4401.00 and the 52-week low was Rs 1447.00.
The company's trailing 12-month (TTM) EPS was at Rs 104.69 per share as per the quarter ended December 2014. The stock's price-to-earnings (P/E) ratio was 21.65. The latest book value of the company is Rs 366.51 per share. At current value, the price-to-book value of the company is 6.18.
Set email alert for
ADS BY GOOGLE
video of the day
Budget 2015-16: Revive capex through savings on cheap crude says Kotak Sec