META Under Fire as ‘Scam Ads’ Allegations Trigger Calls for FTC and SEC Probe

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The documents reportedly imply that META permitted many fraud-related ads to continue running because key rules “did not apply to many ads … [that staff] believed violated the spirit of its rules against scam advertising.”

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Meta Pushes Back, Calling Claims ‘Exaggerated and Wrong’

Senators argue that META’s platforms are allegedly implicated in a staggering share of national fraud, highlighting that “about a third of all U.S. scams” may originate from Facebook and Instagram.

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META spokesman Andy Stone dismissed the allegations as “exaggerated and wrong,” insisting the company “aggressively fights fraud and scams because people on our platforms don’t want this content.”

But Hawley and Blumenthal remain skeptical. They stated that Meta’s Ad Library still contains “clearly identifiable advertisements for illicit gambling, payment scams, crypto scams, AI deepfake sex services, and fake offers of federal benefits.”