European Consumer Groups File Complaint Against Google and Meta for Inadequate Protection Against Financial Scams

The European Consumer Organisation (BEUC), along with its 29 member groups across 27 European countries, officially lodged a complaint with the European Commission and relevant national regulators on the 21st, accusing major tech companies including Alphabet (Google) and Meta Platforms, Inc. of failing to adequately protect users from financial scams on their platforms.

This complaint is primarily based on the European Union's Digital Services Act (DSA). This legislation explicitly mandates that large online platforms must assume greater responsibility in combating illegal and harmful content. According to data disclosed by the BEUC, from December last year to March this year, the organisation reported nearly 900 advertisements suspected of violating EU laws to the platforms in question. However, these platforms only removed 27% of the reported content, while a significant 52% of the reports were either rejected or ignored by the platforms.

Agustín Reyna, Director General of the BEUC, pointed out that Meta Platforms, Inc. and Alphabet not only failed to proactively block and remove fraudulent advertisements but also responded with significant delays after receiving reports of such scams. He emphasised that if these platforms continue to ignore such issues, scammers could potentially reach millions of European consumers daily, exposing a large number of people to the risk of substantial financial losses.

The consumer organisation strongly urged EU regulators to immediately launch an in-depth investigation into the compliance status of the implicated companies and to impose severe penalties for confirmed violations. According to the provisions of the EU's Digital Services Act, companies found in breach could face fines of up to 6% of their global annual turnover. This further underscores the ongoing international call for major tech giants to genuinely fulfil their social responsibilities and mitigate the negative impacts of social media.

In response to the allegations, Alphabet has denied the claims. A spokesperson for the company stated that it strictly enforces its advertising policies, blocking over 99% of policy-violating ads before they are published, and that its technical teams are continuously upgrading defence mechanisms to combat fraudulent activities. As of the time of reporting, Meta Platforms, Inc. had not yet responded to the complaint or requests for comment.