The H-1B Fraud Rate: Over 20%, Says USCIS

" 1. H-1Bs can only be hired for jobs where 'no qualified American can be found' and

" 2. H-1Bs must be paid market rates so as not to depress tech salaries.

"Critics argue neither provision ever gets enforced, and in practice H-1Bs compete directly against American citizens at cut-rate prices, making life miserable for IT workers."

As an immigration lawyer (not actively practicing immigration law at the moment) this sounds very plausible. The law of most immigration categories has never been very vigorously enforced. Before, during, and after when I was actively engaged in immigration law practice I saw some very dubious cases win visas because no one really challenged the visa application. If I remember correctly, at least a few of the terrorists who crashed airline planes into buildings on September 11th, 2001 didn't have valid visa status to be in the United States on the day they made those attacks.

The linked Seattle Times article, while still brief, has more specifics.