A report by the Cato Institute has accused the Trump administration of the “largest fraud in the history of the U.S. immigration system” for collecting over $101 million in fees from 179,000 Nigerians whose applications are effectively “dead on arrival” due to an expanded immigrant visa ban
The Trump administration has been accused of orchestrating the “largest fraud in the history of the U.S. immigration system” by collecting over $100 million in application fees from tens of thousands of Nigerians despite an active ban that renders their requests “dead on arrival.” A report by the Cato Institute reveals that the American government has received more than $1 billion in total from citizens of 39 banned nations, with Nigerians accounting for approximately $101 million of that figure. According to David J. Bier, director of immigration studies at Cato, the continuous acceptance of payments for services that cannot be legally provided is a systemic fleecing of applicants. An internal memo from February 20 further instructed Department of State personnel not to inform applicants of the ban in advance, stating that “Post should not counsel applicants or advise them in advance of the interview that they are subject to the PP,” leaving 179,000 Nigerians to pay mandatory fees for renewals and sponsorships that will remain in indefinite limbo.
The crisis intensified following a January 1 memo that expanded Presidential Proclamation (PP) 10998, effectively freezing employment benefits and permanent residency processing for Nigerians and other affected nationals already living in the United States. This policy shift has left approximately 179,000 Nigerians “job-stranded,” as those on existing work permits are now barred from renewing their authorizations. The memo seen by Peoples Gazette directed USCIS personnel to “place a hold on all pending benefit applications, for aliens listed in Presidential Proclamation (PP) 10998, restricting and limiting the entry of foreign nationals to protect the security of the United States.” Consequently, many Nigerian professionals who have resided in the U.S. for decades find themselves unable to work legally or reunite with family members, while the government continues to process their non-refundable payments.
The administration’s “national security” justification for these delays has recently faced significant setbacks in the federal court system. Last month, an Iranian couple serving as researchers at Stanford University successfully sued the government after their green card and work permit applications were withheld. Judge Susan Van Keulen of the U.S. District Court for the Northern District of California granted an injunction compelling adjudication within 30 days, ruling that the government’s argument was “weak, baseless and unnecessarily cruel.” Currently, more than 100 other affected individuals have joined lawsuits arguing against the blacklisting of entire nationalities. The Cato Institute has called on the U.S. Congress to intervene, asserting that payment entitles applicants to fair processing and that “anything short of that is tantamount to fraud.”
| Country | Number of Pending Apps | Estimated Fees Collected |
| Cuba | 935,000 | $543 Million |
| Venezuela | 239,000 | $138 Million |
| Nigeria | 179,000 | $101 Million |
| Iran | ~112,000 | $64 Million |
| Others (35 Countries) | ~280,000 | $154 Million |
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