Charter and its Time Warner Cable (TWC) subsidiary are facing a lawsuit for an alleged fraud. New York Attorney General Eric Schneiderman filed the lawsuit yesterday.

According to Ars Technica, both companies are in trouble after conducting an allegedly fraudulent scheme. The parties are said to have misled New York residents after not being able to deliver a reliable Internet service.

New York State officials are conducting a 16-month investigation into the matter. The inquiry will include "hundreds of thousands of subscriber speed-tests."

Schneiderman said that Spectrum-TWC subscribers were "dramatically" ripped off by unreliable Internet speeds. The lawsuit indicated that the subscribers' wired Internet speeds for the premium plan are below average. The 100, 200, and 300 Mbps connections were up to 70 percent slower than promised by the provider. Wi-Fi speeds were even slower.

Some subscribers were getting speeds that were more than 80 percent slower. Allegedly, Spectrum-TWC charged New Yorker subscribers as much as $109.99 per month for the slow premium plans.

In other news, Univision Communications took its signal off Charter Communications' cable TV. The two companies were not able to resolve a disagreement over the terms after merging with TWC.

In a post by The Street, Univision deactivated Charter's access to its networks as of 12:01 am February 2. The networks include Univision, UniMas, Galavision and Univision Deportes.

The mentioned channels are currently not available in large parts of New York, Los Angeles and other major US cities. Charter has said that because of the TWC merger, Univision should be able to pay a carriage as stipulated on their pre-existing contract.

Univision, however, insists that Charter should honor their contract. The network will not abide by the agreement it had brokered with Time Warner Cable. Univision Communications is the America's largest Spanish-language media company. As of the moment, both companies are negotiating the terms.