Tejesh Kodali Admits Running ‘Pay To Stay’ Visa Fraud Scheme

Tejesh Kodali, 45, of Edison, New Jersey, has admitted to masterminding a nationwide visa fraud scheme that exploited a phony college to keep foreign nationals in the U.S. illegally. The CEO and managing director of Promatrix Corp. and Blue Cloud Techs Corp. pleaded guilty in Newark federal court to conspiracy to commit visa fraud, capping a federal sting that exposed a sprawling network of recruiters, brokers, and shell employers.

Kodali recruited foreign nationals to enroll at the University of Northern New Jersey (UNNJ) — a sham institution created in 2013 by Homeland Security Investigations. The Cranford-based ‘college’ had no teachers, no curriculum, and never held a single real class. Staffed entirely by federal agents posing as administrators, UNNJ existed solely to trap those willing to game the U.S. immigration system for profit.

For a fee, Kodali promised his clients they could maintain F-1 student visa status without attending classes, earning credits, or pursuing any actual degree. He orchestrated the issuance of fraudulent Form I-20s — the documents required for foreign students to legally study and stay in the U.S. — and ensured these bogus enrollments were reported to federal immigration databases as legitimate.

To cover the tracks, Kodali and his clients fabricated student records, including fake attendance logs and academic transcripts. His intention was clear: profit by placing these so-called ‘students’ as IT consultants with U.S. companies through his recruiting firms. He collected commissions while his clients worked under fraudulent work authorizations tied to non-existent studies.

In total, Kodali and his co-conspirators fraudulently obtained or attempted to obtain 37 student visas and work authorizations. The scheme unraveled on April 5, 2016, when 22 recruiters, brokers, and employers — including Kodali — were charged in one of the largest immigration fraud operations ever conducted by HSI.

The charge of conspiracy to commit visa fraud carries a maximum penalty of five years in prison and a $250,000 fine. Sentencing for Tejesh Kodali is scheduled for March 13, 2017. U.S. Attorney Paul J. Fishman credited HSI Newark, ICE, and USCIS fraud investigators for dismantling the operation from the inside out.