The state of Rhode Island has filed a lawsuit against Meta, alleging that the company knowingly profits from financial scam advertisements. According to the complaint, Meta uses user data to help advertisers target vulnerable demographics, including senior citizens, and generates substantial revenue from these fraudulent activities.
The lawsuit claims that Meta’s actions violate the Rhode Island Deceptive Trade Practices Act. The state is seeking restitution, civil penalties, and the disgorgement of profits obtained through these ads. Additionally, the complaint requests the appointment of a court monitor to ensure future compliance with safety standards.
Meta spokesperson Andy Stone described the lawsuit as unfounded and stated that the company intends to fight the allegations. Stone noted that Meta actively collaborates with law enforcement to combat scams and criticized the attorney general for bypassing direct engagement on safety measures in favor of litigation.
This legal action follows a recent court order requiring Meta to pay $25 billion in a case brought by the New Mexico attorney general regarding data misuse. Furthermore, Meta previously reached a settlement with various U.S. states, agreeing to pay up to $16.68 billion and implement new restrictions for young users.
Data from the Federal Trade Commission highlights the scale of the issue, reporting that financial losses from fraud among adults aged 60 and older increased fivefold between 2020 and 2025. Total losses for this demographic rose from $600 million to $3 billion during that period.
