Monmouth Junction man involved in extortion plot

SOUTH BRUNSWICK — A man from Monmouth Junction has been charged with engaging in an extortion plot and a scheme to obstruct a federal investigation, according to U.S. Attorney Paul J. Fishman.

Trinath Chigurupati, 36, of Monmouth Junction, and Sateesh Yalamanchili, 38, of Wood Dale, Ill., are charged in a two-count criminal complaint related to threats allegedly made against a foreign worker.

According to the criminal complaint filed in Newark federal court, Chigurupati and Yalamanchili were employees of an information technology (IT) staffing company located in Rolling Meadows, Ill., which placed IT consultants at various client sites.

The company hired foreign workers that it sponsored through the H1-B visa program, under which employers are permitted to sponsor foreign workers to enter the United States to work temporarily in certain specialty occupations, such as the IT field. To sponsor a foreign worker, the employer is required to truthfully complete and submit certain documents to the U.S. Department of Labor, and the employer must agree to pay certain wages and other benefits to that foreign worker, even if he or she is not gainfully employed.

On Jan. 15, the Department of Labor’s Wage and Hour Division (DOL-WHD), which oversees certain portions of the H1- B visa program, commenced a civil investigation in Illinois into the company’s alleged violations of the program, specifically, the failure to pay required wages to its foreign workers.

Based on its investigation, the press release from the U.S. attorney said, it was determined that Chigurupati’s and Yalamanchili’s company owed approximately $142,000 in back wages to four of its employees, including approximately $53,000 in back wages owed to the individual named in the complaint.

This individual stated, according to the release, that Yalamanchili contacted him on the phone on Jan. 20 and requested to meet him about a job offer. He met Yalamanchili and Chigurupati at a restaurant in Middlesex County, during which the men actually wanted to discuss the investigation, not a job offer.

Chigurupati and Yalamanchili allegedly told the man that they wanted him to recant the statements he made concerning the investigation, thereby giving up his right to the approximately $53,000 in back wages owed to him.

On Jan. 22, the press release said, Chigurupati and Yalamanchili arrived unannounced at the victim’s residence and ordered him to leave his residence and enter Yalamanchili’s car. The man stated he thought he would be hurt if he did not comply. After the victim entered the car, Chigurupati is alleged to have told him that if he did not recant his statements, he would “take care of” him.

On Jan. 24, the defendants allegedly entered the victim’s residence without permission, with Chigurupati striking the man to awaken him.

Later that day, they all met again at a restaurant, where Chigurupati said his company was in trouble and offered the man $5,000 if he recanted the statements that he had made. Chigurupati reportedly stated that if the man chose not to accept the offer, he would revoke his H-1B status and have him removed from the United States. He also allegedly verbally threatened him with physical harm.

The man agreed to meet Chigurupati and Yalamanchili on Feb. 4, purportedly to discuss a resolution of his claim. The meeting was consensually audio- and videorecorded, during which time Chigurupati instructed the man to falsely state to the DOL-WHD that he had no issues with his wages and that the problems with the company had been resolved. Chigurupati further stated that if the man lied to the DOLWHD, he would be paid $5,000 and not have his H-1B visa revoked.

Chigurupati was arrested March 31 by special agents from the Department of Labor’s Office of Inspector General, and appeared later that day before Magistrate Judge Claire C. Cecchi. Bail was set at $150,000.

Yalamanchili surrendered to federal authorities April 5 and appeared before Magistrate Judge Michael A. Shipp. Bail was also set at $150,000.

Chigurupati and Yalamanchili each face a maximum potential penalty of 20 years in prison if convicted on the extortion count, and a maximum potential penalty of five years in prison if convicted on the obstruction count. Each count also carries a maximum fine of $250,000, or twice the gross gain or loss from the offense.

Fishman credited special agents of the Department of Labor and of the Office of Inspector General, under the direction of Special Agent in Charge Marjorie Franzman, as well as detectives from the Edison Police Department, under the direction of Police Chief Thomas Bryan, with the investigation leading to the charges.

The case is being prosecuted by Assistant United States Attorney Anthony Moscato of the U.S. Attorney’s Office.