Here's one article where AP tried to call out the abuse. It didn't go far...though. This is from 2004.
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J-1 Student Visa Abuse: Foreign Students Forced To Work In Strip Clubs, Eat On Floor

HOLBROOK MOHR, MITCH WEISS and MIKE BAKER 12/ 6/10 04:18 PM ET

MYRTLE BEACH, S.C. — Lured by unsupervised, third-party brokers with promises of steady jobs and a chance to sightsee, some foreign college students on summer work programs in the U.S. get a far different taste of life in America.

An Associated Press investigation found students forced to work in strip clubs instead of restaurants. Others take home $1 an hour or even less. Some live in apartments so crowded that they sleep in shifts because there aren't enough beds. Others have to eat on floors.

They are among more than 100,000 college students who come to the U.S. each year on popular J-1 visas, which supply resorts with cheap seasonal labor as part of a program aimed at fostering cultural understanding.

Government auditors have warned about problems in the program for 20 years, but the State Department, which is in charge of it, only now says it is working on new rules. Officials won't say what those rules are or discuss on the record the problems that have plagued J-1 visas.

John Woods, deputy assistant director of national security for Immigrations and Customs Enforcement, told the AP there were at least two federal investigations under way into human trafficking related to J-1 visas. He would not provide details.

The AP interviewed students, advocates, local authorities and social service agencies, and reviewed thousands of pages of confidential records, police reports and court cases. Among the findings:

_ Many foreign students pay recruiters to help find employment, then don't get work or wind up making little or no money at menial jobs. Labor recruiters charge students exorbitant rent for packing them into filthy, sparsely furnished apartments so crowded that some endure "hotbunking," where they sleep in shifts.

Students routinely get threatened with deportation or eviction if they quit, or even if they just complain too loudly. Some resort to stealing essentials like food, toothpaste and underwear, according to police.

"The vast majority of participating students in this program find it a rewarding experience and return home safely," the State Department said in an e-mail to the AP.

But it's not hard to find exceptions. Most of the nearly 70 students the AP interviewed in 10 states, hailing from 16 countries, said they were disappointed, and some were angry.

"This is not what I thought when I paid all this money to come here," said Natalia Berlinschi, a Romanian who came to the U.S. on a J-1 visa hoping to save up for dental school but got stuck in South Carolina this summer without a job. She took to begging for work on the Myrtle Beach boardwalk and sharing a three-bedroom house with 30 other exchange students.

"I was treated very, very badly," Berlinschi said. "I will never come back."

_ The State Department failed to even keep up with the number of student complaints until this year, and has consistently shifted responsibility for policing the program to the 50 or so companies that sponsor students for fees that can run up to several thousand dollars. That has left businesses to monitor their own treatment of participants.

The program generates millions for the sponsor companies and third-party labor recruiters.

Businesses that hire students can save 8 percent by using a foreign worker over an American because they don't have to pay Medicare, Social Security and unemployment taxes. The students are required to have health insurance before they arrive, another cost that employers don't have to bear.

Many businesses say they need the seasonal work force to meet the demand of tourist season.

"There's been a massive failure on the part of the United States to bring any accountability to the temporary work visa programs, and it's especially true for the J-1," said Terry Coonan, a former prosecutor and the executive director of Florida State University's Center for the Advancement of Human Rights.

The issues are serious enough that the former Soviet republic of Belarus told its young people in 2006 to avoid going to the U.S. on a J-1, warning of a "high level of danger" after one of its citizens in the program was murdered, another died in what investigators in the U.S. said was a suicide, and a third was robbed.

_ Strip clubs and adult entertainment companies openly solicit J-1 workers, even though government regulations ban students from taking jobs "that might bring the Department of State into notoriety or disrepute."

"If you wish to dance in USA as a J-1 exchange visitor, contact us," ZM Studios, a broker for topless dancers, advertised on its website this year. The ad said ZM Studios is "affiliated with designated visa sponsors" and can get women J-1 visas and jobs at topless clubs in cities like Las Vegas and Los Angeles.

MUCH MORE OF ARTICLE AT:

http://www.huffingtonpost.com/2010/12/06/j1-student-visa-abuse-for_n_792354.html