Visa case: Infosys settles lawsuit in US with payout of $800,000

Infosys has settled a case relating to allegations of non-payment of payroll taxes for some employees by agreeing to pay $800,000 (Rs 5.6 crore) to the American state of California.

“The agreement concludes the California attorney general’s (AG’s) investigation into allegations related to the payment of state payroll taxes for some employees travelling on B-1 visas, dating back to 2006,” the Bengaluru-headquartered information technology (IT) major stated. “The agreement was reached to avoid the time, expense, and distraction of protracted litigation.”

In legal parlance, a settlement involves no formal admission of guilt. Around 500 of its employees were working in California during 2006 on B-1 visas.