McALLEN, Texas (Border Report) -- Unaccompanied migrant children who cross the border will no longer be put in shelters operated by the country's largest provider, Southwest Key Programs, the U.S. Department of Health and Human Services announced Wednesday.

Southwest Key had operated 27 residential shelters for unaccompanied children in three states: Texas, Arizona and California.
The HHS announcement comes after the Department of Justice in July filed a civil lawsuit against Southwest Key alleging that employees at the migrant shelters had subjected children to a pattern or practice of sexual abuse and harassment.
The lawsuit was filed in the U.S. District Court for the Western District of Texas and alleged that from 2015 to 2023 multiple Southwest Key employees engaged in inappropriate touching, solicitation of sex acts and nude photos and sexual comments with children at the shelters, the Justice Department said in July.
“For too long, pernicious actors have exploited such children both before and after they enter the United States. Today’s action is a significant step toward ending this appalling abuse of innocents," HHS Secretary Robert Kennedy Jr., said in a statement Wednesday.

“Securing our border and protecting children from abuse are among the most critical missions of the Department of Justice and the Trump administration,” Attorney General Pamela Bondi said. “Under the border policies of the previous administration, bad actors were incentivized to exploit children and break our laws: this ends now.”
Employees were sent letters Monday informing them that staff would be furloughed, KVEO and ValleyCentral.com reported.
KVEO reported that the letter said the company was notified Feb. 28 that a "stop placement notice" had been sent from the federal government "for all of our programs serving unaccompanied children. This unexpected notice has created a challenging situation for Southwest Key.".
Southwest Key operated several facilities in the Rio Grande Valley, including a facility in Los Fresnos, Texas.
KVEO reported the facility appeared shuttered Tuesday evening and that employees are to receive their last paycheck on March 14.
The facilities operated by Southwest Key were paid through grants from the HHS Office of Refugee Resettlement.
In September, a Southwest Key shelter that had been designed to accommodate more than 500 children closed in El Paso, KTSM reported.
HHS said it is conducting a review of all of its grants with the company.
The Department of Justice has dismissed its lawsuit against Southwest Key, HHS says.
Sandra Sanchez can be reached at SSanchez@BorderReport.com.