Google has taken legal action against two crypto scammers, filing a civil lawsuit in a New York federal court. The tech giant alleges that the scammers deceived Google into allowing fraudulent apps on its platform, Google Play. Through these apps, over 100,000 individuals worldwide were reportedly conned out of varying amounts of money, ranging from $100 to tens of thousands of dollars each.
The scammers, one based in Shenzhen, China, and the other in Hong Kong, are accused of creating apps that posed as legitimate cryptocurrency exchanges and investment platforms. By misrepresenting their identity, location, and intent, the fraudsters allegedly tricked Google into accepting their apps on Google Play. Despite Google shutting down the fraudulent apps, the scammers continuously uploaded new ones, resulting in a total of 87 fake crypto apps.
The two individuals promoted their apps through YouTube videos and text message campaigns, convincing victims to invest money through the apps. Victims were reportedly unable to withdraw their funds, even after making apparent financial gains. Google claims that the scammers not only exploited innocent customers but also cost the company over $75,000 in expenses and resources dedicated to investigating the scams.
Expressing concern over the impact on its platforms, Google emphasized the importance of integrity, stating that the scammers' actions threatened the user experience on Google Play. The company highlighted its commitment to combating fraud and ensuring the safety of its users. Google's general counsel emphasized that the lawsuit marks the beginning of efforts to hold bad actors accountable and send a clear message against cryptocurrency scams.
Google's legal action against the crypto scammers comes amidst a broader context of increased scrutiny on tech companies. Axel Springer, the parent company of Business Insider, recently joined other media groups in filing a $2.3 billion lawsuit against Google in a Dutch court, alleging losses due to the company's advertising practices.
