Leaked Documents Expose Meta’s $16 Billion Haul from Fraud-Tainted Ads on Facebook and Instagram

Leaked Documents Expose Meta’s $16 Billion Haul from Fraud-Tainted Ads on Facebook and Instagram

Leaked internal company documents published by Reuters show that 15 billion of the 1000-plus red flagged advertisements are thrust upon the users of the Meta Platforms daily- promotions with red flags of fraud visible. Such advertisements, which are not completely prohibited earn the social media multi-million dollar profits, according to reports. Although there is an endeavor to venture in newer technologies like augmented reality glasses like the Meta Ray-Bans, the business of Meta is primarily based on advertising which drives such applications like Facebook, Instagram, and WhatsApp.

Revenue from the Shadows

In December 2024, it was estimated that 1 out of 10 of all 2024 revenue of Meta (approximately 16 billion dollars) would be the result of advertising fraudulent or forbidden products. These involve ad sales of crypto schemes, counterfeit health cure, and rogue gambling websites, as well as indirect fraudulent activities such as scammers sliding into direct messages. A May 2025 safety briefing proceeded to conclude that the one-third of successful U.S. fraud cases that year were helped by the existence of the Meta ecosystem.

The Fire of Moderation is Lax

The automated filters of Meta reject ad bids only when the fraud probability is more than 95%. Anything less is passed, usually at high rates calculated to put off bad spenders–when the fine payment is nothing in comparison with the losses. According to sources mentioned in Reuters, big-money “high-value” advertisers are allowed to accumulate 500 violations before being shutdown. Even worse, the targeting algorithms of the platform put victims in cycles: The more people push suspicious ads, the more the system promotes them as an expression of interest.

Calls for Oversight

Former Meta safety engineer Sandeep Abraham called on the authorities to take action with the argument: “Unless regulators would not tolerate banks monetizing fraud, they should not tolerate it in technology, either. One of the spokespersons referred to the docs as a selective view that omits wider anti-fraud efforts.

Industry-Wide Epidemic

Meta isn’t alone in this mess. In 2024, Google suspended 39.2 million advertiser accounts due to suspected fraud, which is three times the number suspended the previous year and 5.1 billion ads were removed, which is 300 percent higher than the number of ads removed the year before. Most preemptively, 700,000 deepfake peddlers were caught with the help of AI tools. In the meantime, the X run by Elon Musk revealed in September 2025, a bribery ring in which crypto fraudsters bribed middlemen to compel employees to reinstitute suspended accounts, leading to lawsuits and law enforcement connections. The outrage is reflected in the recent X chatter, where people post Reuters clips and complain about uncontrolled spam.

What Users Can Do

  • Report violently: Report suspicious ads through in-app features.
  • Ad blockers: U block origin is a tool used with browsers.
  • Skepticism I: Check-check You are offered something off-platform.
  • Privacy settings: adjust ad personalization settings to stop the loop.

With regulators looking at big tech as a crime facilitator, these leaks highlight the conflict between profit and protection. The Q3 2025 ad haul by Meta reached $50 billion, up 26 percent, but on what basis to believe?

Read Also: International Travel Prep: Shield Your Smartphone from Border Inspections

News Source: PCmag.com

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Alexa Robertson

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