Fraud Closed account do I have to pay?

Opened account after 1 week I filed a claim for stolen phone, after I received phone I wanted to open a second line and all of a sudden fraud depsrtment decided to close my account. My question is I have a phone blacklisted no service will ATT send this accoint to collections do I have to pay for useless phone? Just because I wanted to open a other line for wife? It does not seem right!