Online Scam Warehouses Frequently Visited by Indonesians, Profiting Rp 21 Trillion

Jakarta, CNBC Indonesia - Meta is alleged to earn US$7 billion (Rp 121 trillion) per year solely from fraudulent advertisements on Facebook and Instagram, two popular platforms frequented by people worldwide, including Indonesians. This revenue has led to the social media giant being sued on behalf of California residents in the Superior Court of Santa Clara County, California.

According to the lawsuit, Meta’s actions in profiting from the promotion of scams violate California’s false advertising laws and unfair business practices statutes.

The lawsuit also accuses Meta of failing to take action against such advertisements, instead tolerating fake ads globally on its platforms.

Not only that, Meta is said to obstruct efforts to reduce ads through certain safeguards.

Santa Clara authorities state that Meta allows intermediaries to sell accounts for placing ads free from law enforcement. This includes targeting scam ads at users who have previously clicked on fake offers.

They also take issue with the use of generative AI systems, which are suspected of helping marketers create fraudulent advertisements.

The lawsuit filing further notes that Meta can adjust the volume of scam ads appearing on its platforms, thereby meeting its revenue targets.

“The scale of Meta’s violations is extraordinary and must be stopped,” said the county’s legal advisor, Tony LoPresti, quoted from Reuters, Tuesday (12/5/2026).

Meta denies the claims and will defend itself. According to the company, it continues to combat existing scams.

“We fight scams on and off the platform because it is not good for us or the people and businesses that rely on our services,” said Meta spokesperson Andy Stone.