Facebook Sues Over Deceptive Ads Linked to Coronavirus Scams

  • Software company runs ads that bait users, Facebook says
  • Google, Shopify, WordPress also targeted, lawsuit says

     

Photographer: Johannes Berg/Bloomberg
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Facebook Inc. sued the founder of a software company for running deceptive advertisements on its social-media platforms, including links to investment scams and bogus information about the coronavirus pandemic.

Basant Gajjar’s “LeadCloak” software, designed to circumvent automated review systems in Facebook and Instagram, baits users into clicking on links that are unrelated to the ad, according to the lawsuit filed Thursday in California. Facebook said the software pushed deceptive ads for diet pills and drugs and cryptocurrency investment scams.