DISH Wireless Agrees to Pay $17.2 Million Over Federal Broadband Program Allegations

DISH Wireless LLC has agreed to pay $17,280,240 to settle federal allegations that it improperly received money from government broadband assistance programs meant to help low-income households get internet service.

The Englewood, Colorado-based company, a wholly owned subsidiary of EchoStar Corporation, provides wireless telecommunications services in the United States through Boost Mobile.

Federal officials said the settlement resolves claims tied to the FCC’s Emergency Broadband Benefit Program and its successor, the Affordable Connectivity Program.

The allegations were brought under the False Claims Act, common law, and the Communications Act of 1934. Officials said the resolved claims remain allegations only, and there has been no determination of civil liability.

Federal Officials Say Program Rules Were Ignored

The Justice Department said companies that knowingly violate federal program rules and collect money they are not entitled to receive will face enforcement action.

Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division said the settlement reflects the department’s effort to protect the integrity of FCC programs.

U.S. Attorney Jeanine F. Pirro for the District of Columbia was more direct, saying DISH and its employees fraudulently enrolled ineligible applicants and received federal payments they should not have received.

FCC Inspector General Fara Damelin also said DISH continued seeking program funds for months after company executives learned about enrollment fraud by agents and after an FCC Office of Inspector General advisory warning.

What the Broadband Programs Were Designed to Do

The Emergency Broadband Benefit Program, known as EBBP, was created by Congress during the COVID-19 pandemic through the Consolidated Appropriations Act.

The program provided $3.2 billion in 2021 to help low-income consumers pay for discounted broadband services and devices.

Its successor, the Affordable Connectivity Program, or ACP, later provided an additional $14 billion for similar services between 2022 and 2024.

Consumers could qualify for the programs if they met income requirements or participated in certain federal, state, or Tribal assistance programs. Those programs included Medicaid, SNAP, Supplemental Security Income, and the National School Lunch Program.

How DISH Enrolled Subscribers

Between May 2021 and February 2022, DISH enrolled more than 130,000 subscribers into EBBP and ACP based on school-related eligibility.

The company relied on a rule connected to the Community Eligibility Provision, or CEP, which applies to schools in high-poverty areas where all students can qualify for free school breakfast and lunch.

For each eligible subscriber, DISH could receive up to $50 per month under EBBP and up to $30 per month under ACP.

Federal officials alleged that some of the subscribers enrolled by DISH agents under the CEP pathway were not actually eligible.

Allegations Against DISH and Its Sales Agents

The government alleged that DISH submitted claims from May 12, 2021, through February 28, 2022, for discounted broadband services and devices for subscribers who did not qualify.

Officials also said DISH failed to put effective policies in place to verify subscriber eligibility.

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The government further alleged that DISH did not properly screen, train, or supervise third-party sales agents.

According to the allegations, some third-party agents were not properly registered in the Universal Service Administrative Company’s Representative Accountability Database.

Federal officials said internal DISH sales employees in Texas, Florida, New York, and West Virginia trained and directed third-party sales agents to submit customer applications with inaccurate school information.

Those agents allegedly submitted false or incomplete information into the FCC’s National Verifier, the system used to determine whether applicants qualified for the programs.

Questionable School-Based Enrollments Raised Red Flags

Federal investigators said DISH enrolled more than 16,000 households based on alleged attendance at a CEP school located more than 25 miles from the household address, without verified school attendance.

The government also alleged that DISH enrolled 130 households based on a claimed dependent over the age of 21 attending a CEP school.

In some cases, officials said DISH enrolled more households into the Emergency Broadband Benefit Program through certain CEP schools than the schools’ actual student enrollment.

The government further alleged that after DISH executives became aware of issues involving CEP enrollments, they failed to take corrective action between September 2021 and April 2022.

Additional Common Law Allegations

The settlement also resolves separate common law allegations.

Federal officials said DISH submitted claims for more than 66,000 subscribers whose applications did not identify a school-aged student.

The government also alleged that DISH enrolled more than 2,400 subscribers using duplicate beneficiaries as the basis for eligibility.

FCC Administrative Order Also Resolved

The civil settlement also resolves an administrative order issued by the FCC’s Wireline Competition Bureau involving similar allegations against DISH.

That order was released on January 17, 2025, in connection with a request for review involving DISH Wireless and decisions by the Universal Service Administrator.

Federal Fraud Enforcement Effort Continues

Officials said the DISH settlement comes as the administration continues a broader push against fraud, waste, and abuse in federal programs.

The government pointed to the creation of the Task Force to Eliminate Fraud and the National Fraud Enforcement Division as part of that effort.

Federal officials said fraudulent use of public assistance programs harms taxpayers, undermines businesses that follow the rules, and hurts the people those programs were designed to help.

The case was handled through a coordinated effort involving the Justice Department’s Civil Division, the U.S. Attorney’s Office for the District of Columbia, the FCC Office of Inspector General, and the FCC Office of General Counsel.

Impact and Consequences

The settlement puts DISH under a major financial penalty while also sending a warning to companies participating in federal benefit programs.

For taxpayers, the case highlights concerns about how public funds can be misused when companies fail to verify eligibility or properly supervise sales agents.

For low-income households, the allegations are especially serious because programs like EBBP and ACP were created to help people who genuinely needed support paying for broadband service.

The case also raises broader questions about oversight, third-party sales practices, and whether companies receiving federal subsidies have strong enough systems to prevent abuse.

What’s Next?

DISH will pay more than $17.2 million to resolve the allegations.

Federal agencies are expected to continue monitoring fraud risks in communications and benefit programs, especially where companies receive federal payments based on customer enrollment.

The Justice Department also signaled that False Claims Act enforcement will remain a major tool in its broader campaign against fraud in government-funded programs.

Summary

DISH Wireless has agreed to pay $17,280,240 to settle allegations that it improperly received federal funds from the FCC’s Emergency Broadband Benefit Program and Affordable Connectivity Program.

The government alleged that DISH enrolled ineligible subscribers, failed to properly supervise third-party sales agents, submitted claims based on inaccurate school eligibility information, and continued seeking funds even after learning about problems.

The settlement resolves civil allegations only, with no determination of civil liability.

Bulleted Takeaways

• DISH Wireless LLC agreed to pay $17,280,240 to settle federal allegations.
• The case involved the FCC’s Emergency Broadband Benefit Program and Affordable Connectivity Program.
• DISH is based in Englewood, Colorado.
• The company provides wireless services through Boost Mobile.
• Federal officials alleged DISH received payments for subscribers who were not eligible.
• The allegations were brought under the False Claims Act, common law, and the Communications Act of 1934.
• EBBP provided $3.2 billion in broadband support during the COVID-19 pandemic.
• ACP later provided another $14 billion between 2022 and 2024.
• DISH enrolled more than 130,000 subscribers using school-based eligibility connected to CEP schools.
• The government alleged some DISH employees and sales agents submitted inaccurate school information.
• More than 16,000 households were allegedly enrolled using schools located over 25 miles from their home addresses without verified attendance.
• More than 66,000 subscribers allegedly did not identify a school-aged student in their applications.
• More than 2,400 subscribers were allegedly enrolled using duplicate beneficiaries.
• Officials said DISH executives failed to take corrective action after learning about enrollment issues.
• The settlement also resolves an FCC administrative order involving similar allegations.
• The claims resolved by the settlement are allegations only, and there has been no determination of civil liability.