In an explosive report of March 17, 2026, a well-respected U.S. Immigration Research organization Cato Institute, found that the U.S. Department of State stole over a billion dollars from immigrants applying for visas where they took the fees and never processed the cases.
The Cato Institute is a Washington, D.C.-based public policy think tank that describes itself as independent and nonpartisan, with a libertarian focus on individual liberty, limited government, free markets, and peace. In immigration policy debates, Cato is well known for publishing research and commentary that often criticizes restrictive immigration measures and emphasizes the economic and human costs of enforcement-heavy policies. The article they published this month comes from that perspective: arguing that the government collected over $1 billion in immigration-related fees from affected immigrants and sponsors while preventing many of those cases from moving forward.
For many immigrants and their U.S. sponsors, the immigration process is already expensive, stressful, and painfully slow. But recent policy changes described in a March 18, 2026 Cato article raise an even more serious concern: the government is still taking filing fees from people while allegedly refusing to meaningfully process certain immigration cases at all. (cato.org)
According to the article, several overlapping federal policies have created broad blocks on immigrant visas, applications for benefits inside the United States, and even diversity visa processing for people from dozens of countries. The article argues that these restrictions now affect citizens of 92 countries and could block hundreds of thousands of immigrants from obtaining lawful permanent residence.
What makes this especially troubling is not only the scope of the restrictions, but the money involved. Immigration is not free. Families often pay significant filing fees for petitions, adjustment applications, work permits, and consular processing. The Cato piece estimates that more than 2 million affected applications were tied to over $1 billion in fees, even though the government allegedly has no real plan to adjudicate many of them. (cato.org)
For immigrant families, this creates a cruel situation.
For example, a U.S. citizen may file to help a spouse legalize status. A parent may try to reunite with a child. A worker may apply for employment authorization or permanent residence. Yet after paying the required government fees, they may face silence, indefinite delays, or a system that appears closed before the case is even fairly reviewed.
The article also points to another troubling issue: in some situations, consular officers were allegedly told not to warn applicants in advance that they would be barred under these policies. If true, that means people may continue preparing for interviews, traveling, gathering documents, and paying fees without being clearly informed that the government has already decided not to approve the case.
At Shepelsky Law Group, we believe immigrants deserve honesty, due process, and a real decision under the law. The U.S. immigration system should not function like a paywall with no service behind it. If a person is not eligible, the government can deny the case according to the law. But taking money while refusing to properly decide cases undermines trust in the system and harms families who are trying to follow the rules.
These developments are also a reminder that immigrants should not wait to explore legal options. When immigration policies shift quickly, delays can become costly. Some people may still qualify for adjustment of status, consular processing, humanitarian relief, waivers, family petitions, employment-based options, or other pathways to legal status, depending on their history and current circumstances.
If you or your loved one wants to legalize in the United States, this is the time to act carefully and strategically. Contact Shepelsky Law Group to review your options and build the strongest path forward. Call (718) 769-6352 or book a consultation at shepelskylaw.cliogrow.com/book.