Facebook owner Mehta accused of ‘rampant’ AI sellers

AI For Business


Alice Kallinen & Rebecca Woodswest midlands

Omelia and Oliver's Jewels AI-generated image. A brown-haired woman is shown holding a child in her arms and standing next to a table full of necklaces. Omelia and Oliver’s Jewels

Omelia & Oliver Jewels is one of the companies reported to Facebook for misleading AI-generated ads

Facebook owner Mehta has been accused of allowing misleading companies to run “rampant” on his platform, with dozens of people claiming to have fallen victim to sellers using AI-generated ads.

More than 60 people contacted the BBC after it was revealed that unscrupulous foreign companies were using fake images and backstories to lure shoppers by pretending to be British family-run businesses.

Some say they were targeted with ads on Facebook and Instagram, as well as the consumer guide “Which?” He said companies are using the platform to “spread their lies in the widest possible way.”

Meta announced that it had removed the content of the six companies accused by the BBC. The company claimed to be based in the UK but transporting cheap goods from Asia.

The tech giant said it does not condone fraudulent activity and is working closely with Stop Scams UK to protect users.

One of the companies removed from the platform was C’est La Vie, which claimed to be a long-established jewelery retailer run by Patrick and Irene in Birmingham, but whose return address was in China.

Mabel & Daisy, which used an AI-generated photo of a mother and daughter and claimed to sell “timeless clothing” from a store in Bristol, was also removed from the platform after it was revealed that it was selling cheap products from its Hong Kong base.

Other companies that Meta has announced are taking countermeasures include clothing companies Sylvia & Grace, Chester & Clare, Harrison & Hayes, Olindra London, and accessories company O’Melia & Oliver Jewels.

Both have one-star reviews on Trustpilot, with hundreds of customers saying they were fooled into thinking they were buying from a UK-based brand and received inferior products.

Chester and Claire The AI-generated storefront, named chester and claire

Chester & Claire uses this image to sell clothes, but this store does not exist

Harrison & Hayes claimed to be an independent clothing store based in Manchester with “decades of experience”, but the return address was at a central warehouse in China. We used an AI image of a storefront that does not exist in the city.

Chester & Clare also uses AI-generated storefront images to promote their business. Although the company claims to have been operating in London since 2005, it is actually based in the Netherlands and sells clothing shipped from China.

The terms of service state that images, stories, characters, and boutique locations “may be created using generative AI” to “enhance the customer experience.”

The BBC contacted all the companies but received only automated responses.

“We felt like a trusted brand on Facebook.”

Claire Brown was persuaded to buy two dresses from Lux and Luna London for £73 after seeing the company’s attractive ads ‘all the time’ on Facebook.

When the dresses arrived a few weeks later, they were made of flimsy material and “looked terrible.”

“I saw it many times on Facebook and felt it was a reliable brand. They had a large collection of clothes and I liked what I saw,” she said.

Claire Brown A woman with short curly hair and red lipstick is smiling. clare brown

Claire Brown knew she was buying from a trusted brand after finding an ad on Facebook

Brown, who works in technology marketing, said she reported the company to Meta but received no response.

The company, which is now closed for business, posted a message on Facebook saying the death of its partner had “catastrophically changed” its life, an almost identical statement used by Birmingham fake jewelery company C’est La Vie.

“I hate being scammed and it really pisses me off because the website is something I share with friends,” Claire added.

“There is a real lack of protection for consumers here.”

Another Facebook user, Stuart, said he had reported a number of suspicious businesses to the platform, but in response he was advised to “impact the ads you see by hiding ads or changing your ad settings.” No other action was taken.

Omelia and Oliver's Jewels The AI-generated shop window image has Omelia and Oliver’s Jewels

Customers who purchased from Omelia Jewels and Oliver Jewels described the products as “the cheapest junk ever.”

Some of the fraudulent companies uncovered by the BBC appear to be part of the controversial ‘dropshipping’ scheme.

There, a third party buys the product from a wholesaler and sells it at a huge markup, even though they have never seen the product itself.

The Advertising Standards Authority (ASA) recently banned so-called “British” clothing companies from advertising images of roses, cobblestone streets and the Union Jack when shipping goods from warehouses in Asia.

The regulator said it continues to take action against misleading advertising, but said platforms such as Facebook play a “vital role” in maintaining “responsible advertising” and would continue to work with them on how best to prevent ads that break the rules.

Which one? Meta said it had allowed fake companies to “run rampant on its platform for too long” and said it should be doing “more” to stop fraud and protect users.

Sylvia and Grace AI-generated shot of two women smiling next to each other. They are wearing beige and black tops and have their heads pressed together. Sylvia & Grace

Sylvia and Grace used AI to generate a photo of the alleged founder

Meta said it wants users to report suspicious ads on its platform, which it said is an “important signal” to its review system and could prompt ads to be re-reviewed while improving its policies.

Social media advertising warning signs

  • Which one? It recommends being wary of pressure tactics such as ads on social media promoting “incredibly good” offers and closing sales with deep discounts.
  • It says you should be suspicious if you see a recently created account claiming to be from a well-known company, especially if it only has a few followers.
  • Rather than clicking on potentially fraudulent links, the guide also suggests searching for a company’s legitimate website and contacting the company to confirm whether the ad is genuine.
  • While many companies claim to have thousands of positive reviews, consumer website Trustpilot is often the best place to check out authentic experiences with fashion brands.
  • Experts who have reviewed some of the AI ​​images used by companies say to be wary of: too much Everything from the subject’s hair to skin to teeth is perfect. And anyone with a photo of a fabricated storefront can usually find out with a simple Google search whether the store has a real address and presence on Britain’s high streets.



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