We are planning to go to Vancouver on 01-Sep-2010 for H1B visa stamping for my wife. We always assumed that the stamping will be either approved or denied (in which case my wife can travel back on L2 which will be still valid). Today, we got to know that these days visa officers are sending the applicants to 221(g) additional processing, so they don’t deny it but don’t approve it either. The only question we have is whether they take the passport in case of 221(g) or we get the passport back? If they keep the passport, do we have an option to get it back / request to get it back and whether it will have any negative impact on the whole process?

There is no clear procedure in these situations. Unfortunately, you would have to go through an interview at the Consulate to know for sure. However, you could always withdraw your application from the Consulate to receive your passports back and go elsewhere.