New York state's attorney general says nearly three-quarters of the city's listings offered by the short-term rental service Airbnb violate city or state laws.
The report released Thursday by Attorney General Eric Schneiderman also charges that many of the listings are placed by commercial operators running illegal hotels, not by New Yorkers renting out a spare room.
Schneiderman announced the formation of a joint city-state enforcement unit that will investigate illegal hotels.
Airbnb said in a statement that it has helped "countless" families pay their bills and stay in their homes.
The company said it would join officials in working on rules to stop "bad actors."
Airbnb said it has already removed more than 2,000 of the New York listings that violated state or city laws.