Texas Official Alleges Chinese National Operated Fraudulent Childcare Businesses

Texas Official Alleges Chinese National Operated Fraudulent Childcare Businesses

Texas Attorney General Ken Paxton has initiated legal action against a Chinese national, alleging the individual is involved in operating fraudulent childcare businesses within the state. The lawsuit claims that Yuan Yao, a resident of North Texas, is behind several enterprises that falsely market childcare services.

According to court documents, Paxton asserts that Yao’s businesses, including the Allen Infant Care Center and the DFW ABA Center, are fronts for issuing fake work permits. The lawsuit contends that neither of these establishments is a licensed childcare facility.

“This serves as a warning to anyone contemplating exploiting the H-1B visa program. I will relentlessly pursue efforts to ensure that the H-1B program benefits Americans and holds accountable those who misuse it,” Paxton remarked. He emphasized his commitment to preventing unlawful entry into the country by foreign nationals.

The lawsuit accuses Yao and his businesses of breaching the Texas Deceptive Trade Practices Act, with damages sought amounting to $10,000 for each infringement.

This lawsuit marks the second such case Paxton has filed in recent weeks. On April 29, he took action against a Houston-area company accused of facilitating a “birth-tourism” scheme, helping clients obtain visas to enter the U.S. for the purpose of giving birth, thereby granting their children U.S. citizenship.

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