Fifteen billion. That is roughly how many high-risk scam ads Meta estimated it was showing users every single day, according to internal documents now at the heart of a landmark lawsuit.
On October 22, Rhode Island Attorney General Peter Neronha sued Meta in Providence County Superior Court, accusing the company behind Facebook, Instagram, and WhatsApp of profiting from scam ads, and even helping to create some of them, while telling users it was keeping them safe. Rhode Island is the first US state to bring a consumer protection lawsuit against Meta over scam advertisements, following a similar enforcement action filed in May by California's Santa Clara County (acting on behalf of California residents).
The complaint argues Meta repeatedly violated Rhode Island’s Deceptive Trade Practices Act. In a public statement, Neronha put it bluntly: "As alleged, Meta knowingly exposed vulnerable users to fraud and scams, and made enormous profits in doing so."
The state’s case leans heavily on investigative reporting by Reuters, which revealed internal Meta documents spanning several years. According to the lawsuit, those records showed:
Crucially, the lawsuit goes beyond simply saying Meta failed to stop scammers. It alleges that Meta has been actively complicit in the problem:
The complaint points to real-world examples of harmful ads. One ad promised to reverse Alzheimer’s disease in 45 days and ran in more than 2,000 variations across Meta's Ad Library. Others impersonated senior Bank of America executives to lure people into stock-trading and investment scams that ultimately moved onto WhatsApp.
These are exactly the kinds of ads that ScamAdviser readers report week after week: miracle health cures, fake celebrity endorsements, and "investment clubs" that start on Facebook or Instagram and move to private chats.
The state is asking the court to hold Meta accountable by demanding:
Meta has previously disputed the findings of the internal documents cited in the lawsuit, calling them a selective and distorted view of the company’s efforts. Spokesperson Andy Stone previously stated that Meta aggressively fights fraud and scams because "people on its platforms do not want that content." The company continues to point to progress in its anti-scam automation.
However, Rhode Island’s lawsuit argues that scam ads remain widespread and easy to find in Meta's own ad library. The case adds to growing legal pressure on Meta; the Consumer Federation of America also filed a class-action lawsuit against the company over scam ads in Washington, D.C., earlier in April.
Whatever the outcome of the lawsuit, scam ads will not disappear overnight. Until they do, take these steps to protect yourself:
Adam Collins is a cybersecurity researcher at ScamAdviser who operates under a pseudonym for privacy and security. With over four years on the digital frontlines, he specialises in translating complex threats into actionable advice. His mission: exposing red flags so you can navigate the web with confidence.
