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01 February 2025

Scam Ads Surge On Social Media Amid Meta's News Blockade

Fake advertisements exploit legitimate news figures as Canadians face challenges accessing authentic news content.

Social media platforms in Canada are facing intense scrutiny as scam artists impersonate legitimate news publishers, raising significant concerns about the integrity of information available to the public. Since August 2023, Meta Platforms Inc., the parent company of Instagram and Facebook, has blocked links to news outlets within Canada due to legislative measures aimed at requiring social platforms to compensate news publishers for hosting their content. The fallout from this legislation has led not only to the suppression of authentic news but also to the proliferation of fraudulent advertisements masquerading as legitimate news posts.

Efforts to share news stories from reputable Canadian media outlets—such as the Toronto Star and the Canadian Broadcasting Corporation (CBC)—are met with notifications stating: “According to Canadian government legislation, news content can’t be shared.” While other platforms, like X (formerly Twitter), continue to allow news sharing, their practices have raised alarms as users report restrictions on accounts and posts with external links, lessening their reach.

The decline of authentic news sharing feeds directly to the harmful rise of scam ads, often targeting unsuspecting users with misleading promises of easy wealth. Disturbingly, these ads frequently employ edited visuals and sensational headlines about well-known Canadian figures, fueling the public’s distrust of online media channels. Recent examples include alarming claims such as “The tragic end of Chrystia Freeland!” and “The Bank of Canada has sued Pierre Poilievre for his statements during a live broadcast.” Such tactics highlight how easily misinformation and scams can infiltrate everyday online browsing.

Some ads have also employed manipulated video content featuring deepfake technology, showcasing prominent leaders like Bank of Canada Governor Tiff Macklem discussing bogus investment products associated with Elon Musk—misrepresentations still prevalent months after initial reports surfaced. Scandals gained traction as names such as Royal Bank of Canada CEO David McKay and weather presenter Kelsey McEwen were appropriated by these phony advertisements. Perhaps most concerning is the repetitive misuse of NDP leader Jagmeet Singh’s likeness, with numerous fake ads surfacing on Meta’s ad library.

The fake ads are especially worrisome as Canada approaches its general election deadline, set for October 2025, leading many to fear foreign interference could tip the balance of power. During discussions surrounding foreign interference, representatives from the NDP have emphatically voiced their awareness of the spam targeting Singh. An NDP spokesperson acknowledged, “We are aware of malicious spam falsely using images of prominent figures, including Jagmeet Singh.” They confirmed the party is actively working to combat these deceptive posts.

Adding to the misrepresentation, fake pages claiming to be from the CBC have emerged, featuring President Justin Trudeau’s false endorsements for nonexistent applications like Depotalux—an application linked to another warning issued about Biffy AI by the French consumer protection agency ADC.

This digital disarray aligns with broader critiques of online platforms’ failure to regulate content effectively. Paul Deegan, president of the industry association News Media Canada, pointedly remarked, “Social media is a single pipe where fake news—the sewage—is commingled with real news—the clean drinking water.” The issue raises serious questions about the efficacy of existing algorithms and moderation practices, recently exemplified by Meta's transition from fact-checking to community-curated notes, sparking fears around accountability.

Meta’s spokesperson Julia Perreira confirmed their commitment to addressing this alarming trend, stating, “It is against our policies to run ads trying to scam or impersonate individuals or brands.” Yet, consumers continue to debate whether the company is doing enough, especially as fraudulent ads often resurface under different aliases, eluding potential buyers eager to invest their savings.

Meanwhile, the CBC has ramped up efforts to document and report the surge of false advertisements. Chuck Thompson, head of public affairs at the broadcaster, expressed concerns over the rapid growth of misleading content claiming to be associated with CBC, assuring they are making efforts to tackle this challenge. “We are all too aware of the increase of false ads claiming to be from, or endorsed by, CBC.” Yet tracking these malicious actors remains complex as many operate behind layers of anonymity.

The Competition Bureau of Canada has also been alerted to issues surrounding deceptive marketing tactics, emphasizing the potential accountability for those enabling this misinformation under the Competition Act. While the government remains firm on implementing its controversial news legislation, urging platforms to contribute to authentic journalism, concerns linger about unintended consequences on the digital information ecosystem.

David Larose, spokesperson for the Department of Canadian Heritage, depicted the initiative as successful, remarking, “Thanks to this law, Google will contribute C$100 million each year to support Canadian journalism. This demonstrates the Online News Act is working.” Yet, as the government commits to regulating disinformation online, the prevalence of scam ads raises fundamental questions about ensuring the public receives accurate information.

While grappling with these challenges, Canada must address the ever-increasing complexity of digital platforms, the rapid evolution of information dissemination, and the fight against deceitful acts. Only time will reveal the efficacy of the measures being imposed on the tech giants and whether they will yield safer, more reliable online spaces for all Canadians.