EU Consumer Groups File Complaints Against Google, Meta and TikTok Over Online Financial Scams

The complaints were submitted on Thursday by the European Consumer Organisation (BEUC) along with 29 member groups representing consumers in 27 European countries. Per Reuters, the filings were sent to the European Commission and national regulators under the European Union’s Digital Services Act (DSA), legislation that requires major online platforms to take stronger action against illegal and harmful content.

The action underscores mounting global scrutiny of large technology companies and the societal risks linked to social media platforms, especially concerning vulnerable users and children. According to a Reuters report, consumer advocates argue that fraudulent advertisements and scam content continue to spread widely despite existing moderation systems.

“Meta, TikTok and Google not only fail to proactively remove fraudulent ads but also do little when being notified about such scams,” BEUC Director General Agustin Reyna said in a statement.

“If they fail to address the financial scams circulating on their platforms, fraudsters will continue to reach millions of European consumers daily, leaving people at risk of losing hundreds to thousands of euros to fraud,” he added.

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The companies rejected the allegations and said they already employ extensive measures to combat scams on their services.

A Google spokesperson said: “We strictly enforce our ad policies, blocking over 99% of violating ads before they ever run. Our teams constantly update these defences to stay ahead of scammers and protect people.”

Meta also defended its practices, stating that it removed more than 159 million scam advertisements last year, with 92% detected before users reported them. “We invest in advanced AI, tools, and partnerships to stop them,” a Meta spokesperson said.

TikTok said it continues to enforce policies against fraudulent activity on its platform, while noting that online scams remain a challenge across the technology industry because scammers frequently change tactics.

Per Reuters, the consumer groups said they flagged nearly 900 advertisements suspected of violating EU rules between December of last year and March of this year. They claimed that only 27% of the ads were removed, while 52% of their reports were either rejected or ignored by the platforms.

The organizations are calling on regulators to investigate whether the companies are meeting their obligations under the Digital Services Act and to impose penalties if violations are confirmed.

Under the DSA, companies found in breach of the rules can face fines of up to 6% of their global annual turnover, according to Reuters.

Source: Reuters