US government officials have announced plans to shut down a number of US settlement providers, including one that offers internet access for the homeless.
US officials announced the plan at a press conference at the White House.
The announcement comes as more than a dozen US-based companies are being investigated over alleged fraud involving US-funded technology.
US Attorney General Loretta Lynch said the companies would not be allowed to operate as settlement providers for the next two years.
“We will not allow these companies to operate in the United States, and we will take action to shut them down,” Lynch said.
The US Attorney’s office said that it would also pursue the closure of several other companies.
In a statement, the Justice Department said the plan would “encourage the industry to develop and deploy innovative solutions to address the challenges posed by the escalating homelessness crisis”.
The Justice Department announced that it had charged six companies, including the US-owned HomeServe, and that a number more had been charged.
HomeSove had said in January that it was closing down its website and would no longer accept payment for internet access.
It said it would close down its operations in 2019, after the US Food and Drug Administration (FDA) banned the use of internet cafes.
HomeService was founded in 1993 by retired military officer and internet entrepreneur Bill Pritzker.
It operates more than 700 US-operated websites, including a mobile app.
The move came after several lawsuits were filed against the company, which has more than 20,000 US residents and more than 2.5 million visitors a day.
Home Service said the US authorities had been monitoring the company’s website for a number, including five months since the last time it had been visited.
“They had not returned a single visit for almost a year,” Home Service CEO and co-founder Mark Tewes told The Associated Press.
Tewe said the company would be unable to continue operating until the government shut down the companies.
The Home Service company said it had closed all of its websites in 2018.
HomeServices was among the companies charged in a case brought by the Justice Departments Office of Civil Rights (OCR).
The Justice Depositions Office found that HomeSites fraudulently advertised for a US-registered technology company and the company lied to prospective customers about the cost of internet access, the number of people it would be serving and the services offered by the company.
The Justice Dept. also found that the Home Service website had violated the False Claims Act, a federal law that protects people from being defrauded by a business or service provider.
The company said the OCR complaint against it was based on false statements made on its website, which claimed that it could “provide high speed internet access and home telephone services to US military veterans”.
HomeServes website said: “HomeServe will continue to serve veterans as part of its mission to serve them in a dignified and humane manner.”
It also said that the company had “successfully transitioned” from selling Internet Service Providers to providing residential internet access to veterans.
Home Services said it did not sell internet access but instead used technology to manage a network of about 50 homes.
“HomeServices is an independent technology provider that offers Internet access services and provides home phone services,” the company said.