Rhode Island sues Meta over scam ads. The state wants restitution and a monitor

Rhode Island Attorney General Peter F. Neronha sued Meta on 22 October over scam ads on Facebook and Instagram. Engadget reported that it is the first US state to bring such a case. According to PYMNTS, the suit says Meta broke Rhode Island’s Deceptive Trade Practices Act.

Rhode Island says Meta aims scam ads at older users

PYMNTS described the main claims. The state says Meta knows scam ads cause serious financial harm and lets them run because they bring in money. It also says Meta helps create, refine and spread them, and uses account data to target groups such as older people.

The state asks for restitution, civil penalties and the return of profits. It also wants a court-appointed monitor to check that Meta follows any order. FTC data cited by PYMNTS shows reported fraud losses among Americans aged 60 and over rose from $600 million in 2020 to $3 billion in 2025.

Meta says it removed more than 159 million scam ads

Meta spokesperson Andy Stone called the lawsuit unfounded and said the company will fight it. He said Meta has removed more than 159 million scam ads and works with police against scammers. He added that the attorney general refused to talk to Meta and hired an out-of-state law firm.

Engadget noted earlier cases from the Consumer Federation of America in April and Santa Clara County in May. Europe is pushing too. In September, Poland asked the EU to fine Meta €250 million, and a Frankfurt court held Meta liable for scam ads that used a finance brand.

Google will verify financial advertisers in the US and Canada from 2027

On 20 October, Google said it will bring its Financial Services Verification to the US and Canada from early 2027. Advertisers will have to show a regulator or a recognised registry has authorised them before running some financial ads. Google says the programme already covers 42 countries. It started in the UK in 2021.

Licensed banks and brokers that pass Google’s check keep their reach. Unlicensed finance advertisers lose Google in North America next year, while Meta defends its approach in a Rhode Island court.