April 21, 2026 — A consumer advocacy group has filed a lawsuit accusing Meta, the parent company of Facebook and Instagram, of misleading users about its efforts to prevent scam advertising and profiting from risky ads.
The Consumer Federation of America (CFA) sued in D.C. Superior Court, saying Meta’s policies and practices allow scam advertisements to spread across its platforms while the company charges advertisers to run that content. The complaint alleges this creates a “false impression of safety” for users who rely on the platforms to screen out fraudulent offers.
“As Americans lose more and more money to online scams, Meta has consistently chosen to prioritize profit over the safety of their users,” said Ben Winters, director of AI and data privacy at the CFA.
CFA contends Meta violated Washington, D.C., consumer protection law and is seeking damages plus recovery of what the group calls illegal profits earned from scam advertising.
Meta disputed the allegations in a statement, saying the complaint “misrepresents the reality of our work” and stressing the company’s efforts to combat scams. Meta said it removed more than 159 million scam ads last year, with 92% taken down before anyone reported them, and that it removed 10.9 million accounts on Facebook and Instagram tied to criminal scam centers. The company added it continues to invest in new technologies to fight securities investment and other scams.
The lawsuit sets up a legal clash over how far platforms must go to detect and block fraudulent advertising, and whether Meta’s actions and disclosures to users and advertisers fall short of legal protections in the district.