H1B Transfer without I-797

[h1bholder_NC]

Hello Friends,

I am in a little bit of a dilemma and need some expert advice.

I applied and received my H1B in 2009 through employer A.

I then successfully transferred my H1B in 2010 to employer B. Employer B (Sapphire Technologies). In Dec 2010, I traveled to India and got my visa stamped till Jan 2013. I returned to the U.S and rejoined work with the client of employer B.

My client assignment ended in April of 2011 after which I was unable to find another project through them and they terminated me in June of 2011. At the same time, I got another offer through company C (Kforce), who processed my visa transfer immediately. The USCIS receipt date is July 16th 2011.

I have still not received my KForce I-797 and the status on USCIS website says "In Progress". Premium processing was not done and my H1 transfer has not come through. It has been 4+ months and the status is still "in progress"

Now here is the deal - My project with company C (KForce) unexpectedly came to an end on Oct 26, 2011 and now I am in the process of interviewing for other projects/clients through them and elsewhere. I have an offer from another consulting company D (Adecco) who is willing to transfer my H1, since I have cleared a client interview and they would like me to start ASAP.

My question is - Can I transfer my H1 without having an approved I-797 from my most recent company?

I have paystubs and all the other documents in place. I have an approved I-797 from my previous employer and like mentioned, my visa is valid till 2013.

The H1 transfer is still in progress for company C, but can I join company D without any issues (who are willing to do premium processing h1 transfer BTW)? What are the risks, if any? Is this legal? Has anyone faced this similar situation or knows about this scenario?

All help and information is greatly appreciated. Thank you very much in advance.

Troubled H1 B Holder.