Lawsuit against Facebook for publishing scammers' advertisements

Santa Clara County in California has filed a lawsuit against Meta Platforms, the owner of Facebook and Instagram social media networks, accusing it of profiting through illegal fraudulent advertisements. The lawsuit is based on Meta's allowing such fraudulent advertisements, which violates California's laws on false advertising and unfair business practices.

This lawsuit, filed in the Santa Clara County Superior Court, seeks compensation for all California residents and an injunction to prohibit such unfair business practices.

The complaint further indicates that Meta Platforms adopts a lenient policy towards the proliferation of fraudulent advertisements globally. According to statements citing internal documents, the company reportedly generates up to US$7 billion annually from such "high-risk" fraudulent advertisements. It is alleged that instead of taking strict measures against those who promote fraudulent ads, the company has even undermined fraud prevention processes when they interfered with profits.

However, Meta Platforms rejects these allegations, stating that it implements a large-scale program daily to combat fraud. Company spokesperson Andy Stone notes that this lawsuit, filed based on Reuters reports, distorts the company's true intentions. But Santa Clara County Counsel Tony LoPresti emphasizes that Meta's misconduct is extremely severe, and therefore, holding tech companies accountable to the law is his responsibility.

Another serious issue highlighted in this case is that Meta's artificial intelligence (AI) systems sometimes even facilitate the creation of fraudulent advertisements. Furthermore, it is suspected that the company controls the influx of such fraudulent advertisements to meet its revenue targets. For this lawsuit, Santa Clara County is receiving assistance from several private law firms, with full control remaining with county authorities.