Identifies employers chosen for audits announced by DHS/ICE on 11-19-09

1. Keller Heckman | Publications | Client Alert - DHS/ICE Serves 1000 New I-9 Notices of I... Page 1 of 2
Client Alert - DHS/ICE Serves 1000 New I-9 Notices of PEOPLE PRACTICES
Inspection on Targeted Critical Infrastructure Partners
Employers Mary E. Pivec
Nov 23, 2009 Associates
Amy L. Blackwood
On November 19, 2009, DHS Assistant Secretary for Immigration and
Customs Enforcement (ICE), John Morton, announced that the agency
is in the process of serving one thousand I-9 Notices of Inspection
accompanied by lengthy administrative subpoenas upon private
employers who deliver services related to public safety and critical
infrastructure needs, including, by way of example, employers in
transportation, chemical manufacturing, food processing, energy
production, and cyber infrastructure. The list of subpoenaed
documents includes employment records, quarterly employment tax
returns, SSA notices of employee account number discrepancies, and
business records relating to persons employed through temporary
staffing agencies and other independent contractors.
Assistant Secretary Morton, a career federal prosecutor, stated that the
current round of employers targeted for in-depth immigration
compliance audits were selected based on investigative leads
suggesting that they are employing undocumented workers -- which
poses a potential threat to national security and deprives lawful U.S.
workers of valuable employment opportunities. The existence of a past
record of investigation for wage and safety violations also was a factor
in selection. Many of these private employers hold state and federal
maintenance and service delivery contracts.
ICE agents and forensic auditors possess broad investigative authority,
including authority to demand the appearance of witnesses to provide
testimony under oath relating to any violation of U.S. immigration law.
Evidence developed in the course of these administrative compliance
audits which tends to establish that the employer (through its agents)
knew or should have known that it was employing illegal workers
(directly or through use of a labor contract) may be used to support
http://www.khlaw.com/showpublication.aspx?Show=3308 11/24/2009

2. Keller Heckman | Publications | Client Alert - DHS/ICE Serves 1000 New I-9 Notices of I... Page 2 of 2
administrative charges, substantial civil money penalties, and federal
contract debarment proceedings. In addition, such evidence may be
used to support the prosecution of the employing entities, as well as
individual owners, managers, officials and employees under a variety of
federal criminal felony theories. Conviction of such offenses can result
in the imposition of substantial criminal penalties, assets forfeitures,
and imprisonment.
Because of potential criminal exposure, any employer who is served
with a Notice of Inspection for I-9 forms and a related immigration
compliance subpoena should seek the advice of competent counsel for
the purpose of assessing the company's legal position and identifying
the appropriate course of action for responding to the government's
inquiries and document production requests. A confidential internal
investigation to identify and correct compliance deficiencies, if any, is
highly recommended.
The current round of I-9 notices and subpoenas follows the
announcement of thousands of dollars in fines levied against a group of
over 600 employers who received inspection notices in early July
2009. Fine levies have increased dramatically over past years and are
being computed based on an entirely new formula aimed at deterring
employers from ignoring their I-9 and immigration compliance
responsibilities.
For additional questions regarding I-9 investigations and immigration
compliance audits please contact Mary Pivec at 202-434-4212 or
pivec@khlaw.com or Amy Blackwood at 202-434-4118 or
blackwood@khlaw.com.
Member of WASHINGTON, DC BRUSSELS SAN FRANCISCO SHANGHAI
http://www.khlaw.com/showpublication.aspx?Show=3308 11/24/2009