Rhode Island Sues Meta Over Handling of Scam Ads
Rhode Island Attorney General Peter F. Neronha has filed a legal complaint against Meta, marking the first time a state government has taken action against the social media giant over its handling of scam advertisements.
Radwan AbdulhadiEditor and technology writer
State Attorney General Files Legal Action
Rhode Island Attorney General Peter F. Neronha has initiated a formal lawsuit against Meta regarding the company's approach to scam advertisements on its social media platforms. The newly filed lawsuit alleges that the social media business fails to take adequate measures to prevent fraudulent ads from appearing before users. According to the state's allegations, Meta avoids taking stronger actions against these scams because the deceptive advertisements generate revenue for the corporation.
The state's release highlights that Rhode Island is the first state to take direct legal action over Meta's alleged inaction regarding fraudulent marketing practices. State officials emphasize that consumer safety should remain a paramount concern for companies interacting with large populations of residents.
Concerns Over Consumer Safety and Revenue
In public remarks concerning the legal filing, Attorney General Neronha emphasized the duty large corporations hold toward consumer protection. "For a company that engages so many Rhode Islanders and Americans, maintaining high standards for consumer safety should be of the utmost importance," Neronha stated. He further noted that the state's office will utilize all available authority to hold companies accountable when they expose vulnerable users to fraud for corporate profit.
The controversy surrounding deceptive advertisements builds upon broader scrutiny regarding platform monetization. Past investigative reporting, such as a 2025 analysis by Reuters, indicated that scam advertisements could potentially provide billions of dollars to Meta's financial metrics.
Meta's Response and Defense
In response to the legal challenge, Meta defended its ongoing moderation efforts and criticized the state's approach. In a statement provided to Reuters, Meta spokesperson Andy Stone asserted that the company has actively removed more than 159 million scam ads from its digital ecosystems.
Stone also criticized the decision to pursue legal action, stating that the attorney general refused to engage in discussions regarding protective measures. According to Meta, the state instead hired an out-of-state private law firm to construct a legal filing that ignores the daily security actions taken by the company.
Broader Legal Context and Platform Actions
While Rhode Island is the pioneer state-level plaintiff in this specific context, Meta has faced prior legal challenges regarding deceptive advertising practices across its networks. Previous legal moves include actions brought forward by advocacy organizations and local governments, such as a filing by the Consumer Federation of America and a separate county-level suit in California.
Meta has previously reported various operational measures to address fraudulent activity, including collaborative efforts to shut down bad actors and the introduction of user protection features for suspicious messaging systems.
Sources
- EngadgetRhode Island sues Meta over its approach to scam ads
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