April 6, 2011 

http://ems.gmnews.com/news/2011-04-06/Front_Page/Local_business_owner_gets_jail_term_for_money_laun.html

EDISON — A former member of the township Zoning Board of Adjustment was sentenced March 31 to six months in prison for money laundering related to illegal immigration documents.

Nilesh Dasondi, 44, owner of Sterling System LLC, formerly Cygate Software & Consulting, was charged in connection with the trafficking of immigration documents used to procure H-1B visas and Green Cards for ineligible or unqualified Indian nationals, U.S. Attorney Paul J. Fishman said.

Dasondi, of Edison, previously pleaded guilty before U.S. District Judge William J. Martini to the money-laundering charges. Martini imposed the sentence in Newark federal court.

In June 2008, Dasondi was one of seven individuals charged with conspiracy to defraud the United States. As owner of the Edison-based Cygate, an information technology company, Dasondi petitioned federal agencies for both H-1B visas and Green Cards on behalf of individuals including his six co-defendants — all Indian nationals — claiming that they possessed specialized IT skills and that they would work for Cygate once they were in the U.S., according to federal authorities.

H-1B visas, which are issued by the Department of Homeland Security U.S. Citizenship and Immigration Services (USCIS), permit qualified alien workers entry into the U.S. to work in a specialty occupation such as IT consulting. Employers petition on behalf of alien workers, who are required to meet certain educational and professional requirements established by USCIS. The number of petitions filed with USCIS each year far exceed the limited number of H-1B visas available. Securing an H-1B visa often represents the first step in obtaining permanent lawful residency via a Green Card and, ultimately, U.S. citizenship.

Despite Dasondi’s representations in petitions to federal agencies, none of his six co-defendants performed any work for Cygate and they were instead instructed by Dasondi to secure cash-paying jobs in the locations of their choice, authorities said. Dasondi then engaged in a process known as “running the payroll,” whereby the visa recipients were put on Cygate’s payroll so that they appeared as legitimate employees, and then made to remit monthly payments to Cygate. Those payments were used in part to pay the visa recipients back, as falsified proof of compliance with the terms of their visa requirements and in order to apply for Green Cards. Other portions of the payments were used to pay Cygate payroll taxes owed the government, to perpetuate the trafficking in immigration documents, or pocketed as profit by Dasondi, according to authorities.

Dasondi told the court that he accepted lump-sum payments from his co-defendants for procuring H-1B visas and, in some cases, Green Cards, and that he had engaged in “running the payroll” with the same individuals in order to create a falsified record of employment and to personally profit. Dasondi also admitted that he used the proceeds of these and other payments from his co-defendants to conduct financial transactions, including paying Cygate-related expenses.

Martini previously accepted guilty pleas from Dasondi’s six co-defendants: Ajit Vyas, 40, of Hoffman Estates, Ill.; Kishor Parikh, 42, of Ronkonkoma, N.Y.; Vimal Patel, 36, of Maricopa, Az.; Chetan Trivedi, 40, of Ronkonkoma; Hetal Shah, 38, of Ringwood, N.J.; and Devang Patel, 31, of Ronkonkoma. Each admitted to engaging in a conspiracy to defraud the government by paying Dasondi to have Cygate sponsor them for H-1B visas and, in some cases, Green Cards, based on falsified qualifications. They also admitted that they had “run the payroll” with Dasondi in order to acquire false records such as pay stubs indicating that they were performing work for Cygate. All were sentenced to terms of probation and face collateral immigration consequences.

In addition to the prison term, Martini sentenced Dasondi to two years of supervised release and ordered him to pay a $50,000 fine. Dasondi also agreed to forfeit an additional $296,921.