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Meta faces lawsuit over scam ads in Sweden

Economy & businessEconomy
Key Points
  • Utgivarna is preparing a lawsuit against Meta over scam ads using media profiles' names.
  • Västerås municipality leads in reporting welfare fraud, reclaiming 850,000 SEK this year.
  • Attendo demands 24.7 million SEK after contract termination over time registration fraud.

Utgivarna is preparing a lawsuit against Meta over scam ads using media profiles' names, according to the association. Meta earned 137 billion SEK from these ads in 2024, Utgivarna claims. The lawsuit aims to hold the tech giant accountable for profiting from deceptive content that damages the credibility of Swedish media. The exact timeline for filing the lawsuit has not been disclosed, and it remains unclear how Meta will respond to the allegations.

Crimes against welfare systems are a growing problem in Sweden, according to reports. Västerås municipality is leading in the country in reporting suspected crimes against municipal welfare systems to the police, reports indicate. Västerås reported the most welfare fraud against the municipality both in absolute numbers and per capita – seven reported crimes per 1,000 inhabitants in the last seven years, according to reports. Already in 2018, Västerås social services began focusing more on stopping incorrect payments from the welfare system, reports state. Since January 2025, two social workers work exclusively on stopping incorrect payments, according to reports. Västerås municipality has reclaimed 850,000 SEK in incorrect payments just this year, reports say. Västerås municipality cooperates with other municipalities in Mälardalen to prevent welfare fraud, according to reports.

Västerås city chose to terminate the collaboration with Attendo one year ago, according to reports. About 900 clients needed to find new care providers and 600 employees lost their jobs after the collaboration was terminated, reports indicate. The reason for the breakup was that systematic time registration fraud was found, and a police report was filed against Attendo, reports state. Attendo presented its own investigation showing that no errors were committed, according to reports. Attendo demands damages of 24.7 million SEK for the contract being terminated on incorrect grounds, reports say.

A woman was convicted for, through her company, having reported 4,500 hours of housing support for compensation of nearly two million SEK, even though the support was not provided, according to reports. The district court based its assessment on a massive discrepancy between reported housing support and salary statements, as well as witness statements, reports indicate. The crimes are classified as gross fraud considering they involved a significant value, were systematic, difficult to detect, and targeted the welfare system, according to reports. The woman was sentenced to two years and six months in prison and is required to pay damages to Västerås city corresponding to the incorrectly paid compensation, reports state. The company that the woman represented is ordered to pay a corporate fine of one million SEK, according to reports.

Östersunds FK has filed a lawsuit against a former player for 205,000 SEK in unpaid debts, according to the club. The player had a verbal agreement to use a club apartment and meals deducted from salary, but after injury and sick leave, the club invoiced him, reports indicate. The club demands over 205,000 SEK from a former player, according to reports. The dispute concerns unpaid invoices for housing, electricity, and meals provided by the club, reports state. Initially, there was an arrangement where the club covered costs for housing, electricity, and meals, and made salary deductions from the player for these costs, according to reports. When the player was injured and on sick leave, there was no salary to deduct from, reports indicate. The player continued to use the housing, electricity, and meals while on sick leave, according to reports. Östersunds FK sent invoices to the player, but they remain unpaid, reports state. The parties had a verbal agreement regarding the cost arrangement, according to reports. Östersunds FK has filed a lawsuit with the district court, reports say.

Försäkringskassan is demanding an assistance company repay 2.1 million SEK because a child lived abroad while receiving assistance benefits, according to reports. The case highlights the challenges in monitoring welfare benefits when recipients are outside the country. The company has not publicly commented on the demand.

Eda kommun is demanding reduced rent and retroactive payment, according to reports. The details of the dispute have not been fully disclosed.

A woman has reported a construction company to ARN, according to reports. The nature of the complaint has not been specified.

A store owner filed a lawsuit in the Labour Court against a former employee for gross disloyalty, according to reports. The case underscores the legal consequences of employee misconduct.

Eslövs Bostads AB is suing construction company Pemasund for nearly 1 million SEK in lost project subsidies, according to reports. The lawsuit alleges that Pemasund's actions caused the loss of subsidies for a housing project.

Annika Backlund was ordered to pay over 140 million SEK to creditors for unpaid loans where she acted as guarantor, according to reports. The case illustrates the financial risks of acting as a guarantor for large loans.

Parkslide has started growing after construction work was completed, according to reports. The growth has raised concerns about property damage and the need for removal.

Seven managers were bought out from Västerås city – the bill close to ten million, according to reports. The details of the buyouts, including the reasons and the managers' identities, have not been disclosed.

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Meta faces lawsuit over scam ads in Sweden | Reed News