The U.S. Virgin Islands Attorney General filed suit in local Superior Court alleging Meta profited from scam, illegal gambling and banned‑product ads while misleading the public about child safety. The complaint cites internal projections that around 10% of Meta’s 2024 revenue came from high‑risk ads and alleges the company only blocks suspected scammers when algorithms reach ~95% certainty; Meta denies the claims.

The complaint, filed in the Superior Court of the Virgin Islands, accuses Meta of knowingly allowing and monetizing advertisements that facilitated scams, illegal gambling and sales of banned products, while misrepresenting platform safety especially for children. Prosecutors rely on internal documents and analyses that purportedly estimate roughly 10% of Meta’s 2024 revenue derived from what regulators classify as high‑risk advertisements. The suit further alleges Meta’s enforcement posture leaves consumers exposed because suspected scam advertisers are blocked only when automated systems reach approximately 95% certainty of fraud, a threshold that allows many malicious actors to operate and profit. The Attorney General seeks civil remedies, disgorgement of ill‑gotten gains and injunctive relief aimed at changing advertising review practices and third‑party monetization. Meta has publicly denied the allegations, saying its systems and policies are designed to protect users and that it cooperates with regulators. The litigation joins broader scrutiny of online ad ecosystems and platform responsibility for consumer and child safety.