Google, Meta, TikTok face EU complaints over financial scam protections

Source: Mashable Tech

EU complaints over financial scam protections

Tech giants Google, Meta, and TikTok are facing European scrutiny for their alleged role in a growing number of financial scams targeting users.

The complaints were filed with regulators by the European Consumer Organisation (BEUC) and 29 of its members in 27 European countries, as reported by Reuters.

The consumer group flagged 900 ads that they deemed violated EU laws, but only 27 % of those ads were removed by the platforms. More than half of the reports were rejected or ignored.

Companies accused

• Google – accused of failing to proactively remove fraudulent ads and adequately notify users.
• Meta – accused of the same failures and of profiting from scam ads targeting older Americans and Medicare recipients.
• TikTok – similarly accused of not removing fraudulent ads in a timely manner.

Consumer group findings

• 900 ads identified as potentially illegal under EU law.
• Only 27 % of the flagged ads were taken down.
• Over 50 % of the reports were either rejected or ignored by the platforms.

Company statements

• Google: “We strictly enforce our ad policies, blocking over 99 % of violating ads before they ever run. Our teams constantly update these defenses to stay ahead of scammers and protect people.”
• Meta: “We invest in advanced AI, tools, and partnerships to stop them. Last year we found and removed over 159 million scam ads, 92 % before anyone reported them to us.”

Meta was previously accused of making tens of millions of dollars from scam ads targeting older Americans and Medicare recipients. A Reuters investigation also found that Meta generated billions from fraudulent ads, referred to as “high‑risk” advertising. AI‑powered scams are proliferating across platforms, including Google‑owned YouTube and TikTok.

Regulatory framework

The complaints were submitted under the EU’s Digital Services Act (DSA), a broad set of laws that impose more transparent reporting and consumer protections on online service providers. The DSA went into effect in 2022 (source). Since then, the European Union has launched multiple inquiries against large tech companies, including:

• A recent Google antitrust probe (details).
• An investigation into Meta’s child‑safety policies (details).
• A sweeping audit of TikTok’s algorithm and data policies (details).

Regulators could levy hefty fines if the companies are found to be in violation of the DSA.