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Government plans and allowed phones

I work for a school system that has a government plan. Recently, my phone, a Moto Z2 Force, and some issues so I sent it in for warranty replacement to Lenovo. Lenovo quickly sent me a replacement phone. When I inserted my SIM into the phone, while it did see my phone number during the setup wizard, it didn't enable service. My signal strength showed full bars, but there was no 4G or 3G logo beside. No data or voice would work.

Thinking it might be something wrong with my SIM, my wife tried hers in the phone. Same thing happened. So we put our SIMs back into our other phones, and they still didn't work. My wife logged into her account, and the SIM was disabled, and wouldn't let her reactivate it. After I got to work the next day, and had our support person check mine, the same thing had happened. After a lot of time on the phone, we finally got our SIMs turned back on. The reason they claimed it happened was due to suspected fraudulent activity. But they couldn't explain why it happened, or what triggered it.

At first, I was thinking Lenovo sent me a bad phone. But after checking the IMEI number, nothing comes up wrong. My rep has vaguely suggested that maybe you can't activate a phone from a source outside of Verizon on a government account. I don't know why he can't tell me for sure though. So that's my question. Is there any reason that a phone, with Verizon branding, from a different source, can't be activated on a government account?

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Re: Government plans and allowed phones
Customer Service Rep

For assistance with your account, you would need to contact our Business and Government department. They have access to those accounts.