Rhode Island Attorney General Peter F. Neronha filed a lawsuit against Meta on October 23, 2026, alleging that the social media business fails to do enough to stop fraudulent ads because those promotions generate revenue. Engadget reports that Rhode Island is the first state to take action over this alleged inaction.
Key takeaways
- Rhode Island Attorney General Peter F. Neronha filed a state lawsuit against Meta regarding scam ads.
- The filing claims Meta avoids stronger action against scams because the ads generate revenue.
- Meta spokesperson Andy Stone stated the company has removed over 159 million scam ads.
- Rhode Island is the first state to take legal action over this specific issue.
Why is Rhode island sues Meta making news now?
The state lawsuit claims that Meta knowingly exposed vulnerable users to fraud while making enormous profits. According to Engadget, Neronha stated that maintaining high standards for consumer safety ought to be of the utmost importance. He added that his office will hold companies to account when they take advantage of state consumers.
What does Meta say about Meta scam ads?
Meta spokesperson Andy Stone defended the company in a statement to Reuters, which first reported on the legal action. Stone asserted that the attorney general refused to engage with the business on consumer protection methods. Instead, Stone claimed the state hired an out-of-state private law firm to create a lawsuit that ignores the company daily efforts to combat scams.
Stone noted that Meta has removed more than 159 million scam ads from its platforms. Prior to this state case, other entities targeted the social media company over similar concerns. The Consumer Federation of America filed a lawsuit in April, and Santa Clara County in California filed another in May.
What happens next?
A 2025 report from Reuters indicated that scam advertisements could provide billions of dollars for Meta, potentially reaching up to 10 percent of its revenue. The business has previously shut down bad actors, sued creators of phony ads, and introduced user protections for suspicious messages earlier this year.
Frequently asked questions
Rhode Island Attorney General Peter F. Neronha filed the lawsuit against Meta over the company's handling of scam advertisements.
The lawsuit alleges that Meta does not do enough to prevent fraudulent ads on its platforms and has avoided stronger action because those scams generate revenue.
According to a Meta spokesperson, the company has removed more than 159 million scam ads from its platforms.
Yes, according to the release from the attorney general office, Rhode Island is the first state to take action over this alleged inaction.
A 2025 report from Reuters found that scam advertisements across Meta networks could provide billions of dollars, possibly as much as 10 percent of its revenue.
Based on reporting by Engadget. Read the original article