Facebook Inc. has filed lawsuits against two app developers in Asia accused of "click injection fraud," the social media giant said Aug. 6.
Cases have been filed against LionMobi Holding Ltd. in Hong Kong and JediMobi based in Singapore, for developing apps for Google LLC's Play store that was used to corrupt users' phones with malware, Jessica Romero, Facebook's director of platform enforcement and litigation, said.
The malware created fake user clicks on advertisements on Facebook. Both LionMobi and JediMobi generated unearned payouts from Facebook for falsely stating that a real person had clicked on the ads. Facebook alleged that LionMobi also publicized the "malicious" app on the social platform in violation of Facebook's advertising policies.
The ads were a part of Facebook's Audience Network and both companies have been barred from it and their respective accounts blocked.
Facebook said it compensated impacted advertisers in March.
Earlier, Facebook said it was working to make ads more transparent and easier for users to control. The company updated its platform tools to provide more clarity on how advertising is targeted to specific users.