From CNET: US Senators Josh Hawley and Richard Blumenthal are calling for an investigation into Meta over its alleged role in profiting from scam-laden advertisements on Facebook and Instagram. The demand follows a Reuters investigation reportedly based on internal Meta documents that estimated that nearly 10% of Meta's 2024 revenue -- about $16 billion -- came from alleged "illicit advertising."
In a letter to the Federal Trade Commission and the Securities and Exchange Commission, the lawmakers urged regulators to "immediately open investigations and, if the reporting is accurate, pursue vigorous enforcement action … to force Meta to disgorge profits, pay penalties and agree to cease running such advertisements."
One document reportedly alleged that Meta earned $3.5 billion in just six months from what it classified as "higher-risk" scam ads.
The same internal records reportedly suggested that many ads allegedly violating fraud rules were permitted to run because they "did not apply to many ads… [that staff] believed 'violated the spirit' of its rules against scam advertising."
View: Full Article
