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New Delhi: Attempts at mediation have failed in the case between whistleblower Jack Palmer and Infosys Ltd, India’s second-largest software services firm said on Wednesday.

The case, which deals with allegations of visa fraud, will now go to trial on 20 August.

Earlier this month, justice Myron H. Thompson of a US court had ordered lawyers for both sides to try to settle the case in a conference on 24 July. Mediation is standard procedure before any trial begins.

Infosys is currently involved in two lawsuits.

In February 2011, Palmer, a US-based consultant for Infosys, filed a lawsuit in an Alabama court accusing the company of sending Indian employees to the US to work on projects on short-term, non-employment (B1) visas, in violation of American immigration regulations. Palmer alleged that Infosys was doing this to circumvent increased restrictions around work visas.

Three months later, on 23 May, Infosys received a subpoena from a grand jury in the US district court for the eastern district of Texas requesting all records relating to uses or sponsorship for B1 business visas. A subpoena is a directive issued by a court requiring a person or an entity to appear before it at a specified time.

In April this year, Infosys said in a filing to the US Securities and Exchange Commission that the US department of homeland security (DHS) was reviewing the company’s employer eligibility verifications after it found a “significant percentage of errors in Forms I-9 of some of its employees working in the country".

Form I-9 is used by an employer to verify an employee’s identity and establish that the worker is eligible to accept employment in the US. Every employee has to complete an I-9 form at the time of being hired.

“In the event that the DHS ultimately concludes that our Forms I-9 contained errors, the department would likely impose fines and penalties on us," Infosys said.

malia.p@livemint.com

PTI contributed to this story.

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