Google Sued for Alleged Failure to Remove Fraudulent Crypto App, Leading to Millions in Losses

Google is being sued for reportedly losing more than $5 million in revenue due to its inability to take down a fake bitcoin app from its platform in a timely manner. Maria Vaca, a resident of Florida, filed the case, accusing the tech giant of being negligent in failing to warn users about Yobit Pro, a scam program that pretended to be a trustworthy cryptocurrency wallet but was actually run by hackers.

Vaca’s lawsuit details how she deposited $4.6 million into the Yobit Pro app between February and July of last year. However, when she attempted to withdraw her funds, which had reportedly grown to $7 million, the app informed her that she needed to deposit an additional $500,000 for “tax” purposes. After complying, she was told she had to deposit another $2 million for verification. At this point, Vaca refused, and soon after, she began receiving threats from unknown individuals demanding more money.

Google’s Alleged Delay

Vaca reported the scam to the Consumer Financial Protection Bureau (CFPB), which then forwarded her complaint to Google. The lawsuit claims Google took nearly three months to remove Yobit Pro from its app store. During this period, at least five other users fell victim to the same fraudulent scheme. The legal complaint, filed in the California Superior Court of Santa Clara County, accuses Google of falsely promoting the safety and security of apps available on its platform.

Vaca is seeking $5 million in damages to recover the financial losses she suffered. Google, which has previously pursued legal action against individuals involved in distributing fraudulent cryptocurrency apps, has not yet commented on the lawsuit.