OTTAWA - The federal government has issued a cease-and-desist order against Retrofoam Canada to stop the company from installing insulation that contains urea formaldehyde.

Justice Minister Rob Nicholson says the company operated mainly in southern Ontario and installed the insulation in about 700 homes.

Nicholson says the order bans the company from to distributing, selling or installing the insulation anywhere in the country.

He says the government is continuing its investigation into Retrofoam Canada.

Urea formaldehyde was widely used in Canadian homes from 1977 until it was banned in 1980 because of concerns about possible health implications.