ARCON declares war on AI-generated fake adverts circulating social media

DDM News

The Advertising Regulatory Council of Nigeria (ARCON) has sounded the alarm over the unchecked spread of fraudulent, AI-generated adverts flooding the internet.

Amid growing concerns, ARCON has vowed to crack down on marketers, content creators, and influencers using artificial intelligence tools to deceive the public.

Diaspora Digital Media (DDM) gathered that ARCON’s Director-General, Dr. Olalekan Fadolapo, made this known during a press conference held at the council’s Lagos headquarters.

He painted a grim picture of Nigeria’s digital advertising landscape, calling it dangerously “porous” and exploited by bad actors to push deceptive content.

Dr. Fadolapo warned that those behind these fake campaigns would face the full wrath of the law, citing public endangerment and erosion of trust in genuine businesses.

He explained that the ease of creating realistic AI-generated ads has opened the floodgates for scams, quackery, and digital fraud.

“Our social media space has become so porous that people now freely post fake adverts, some of which claim outrageous and bogus benefits,” he said.

He gave a chilling example of a particular advert promoting a so-called herbal drug that allegedly cures over 200 diseases, including HIV and cancer.

“Imagine an advert claiming that a single herbal drug could cure HIV, cancer, and more than 200 other diseases,” the ARCON boss lamented.

He described such promotions as reckless and dangerous, especially because they prey on the desperation of vulnerable people seeking quick solutions.

According to him, these miracle claims are never backed by scientific evidence or verified sources, yet they spread widely online.

The Director-General blamed the unregulated nature of social media, contrasting it with traditional media where editorial scrutiny still exists.

He said that while TV, radio, and newspapers enforce strict advertising rules, digital platforms remain largely unsupervised.

He added that AI makes it easy to create polished, professional-looking content within minutes, which complicates regulatory efforts.

“It only takes minutes to produce a convincing ad using AI-generated voices, images, and scripts,” he noted.

Fadolapo expressed particular concern over a notorious case known as the CBEX fraud, which serves as a stark warning.

According to ARCON, the CBEX scheme allegedly defrauded Nigerians of nearly $2 trillion through slick, AI-powered digital ads.

The fake promotion featured cloned websites, doctored financial reports, and fabricated video testimonials, all powered by artificial intelligence.

The CBEX fraud promised investors astronomical returns through cryptocurrency trades but ended up as one of the country’s most brazen online scams.

Fadolapo stressed that the CBEX saga was a “painful reminder” of what happens when regulators are slow to adapt to tech-driven threats.

He stated that ARCON would now work more closely with security agencies, tech platforms, and the judiciary to identify and punish offenders.

The council, he said, is updating its compliance strategies to include AI-tracking tools and legal frameworks tailored to digital threats.

He reiterated that while innovation is welcome, its misuse to deceive, exploit, or defraud the public will no longer be tolerated.

ARCON, he explained, is determined to protect public health, consumer confidence, and Nigeria’s advertising integrity from collapse.

He called on content creators and influencers to verify claims and avoid promoting products or services that lack credible evidence.

Fadolapo also urged digital platforms to take responsibility by tightening their content approval processes and cooperating with regulators.

He hinted that regulatory amendments may soon require digital publishers and social media companies to pre-vet all ads targeting Nigerians.

“Everyone must play their part, government, platforms, content producers, and consumers, to sanitize our digital advertising space,” he said.

He disclosed that several investigations are already underway and that violators will be made examples to deter others.

In his closing remarks, Dr. Fadolapo said the days of using technology to manipulate, deceive, and defraud Nigerians are numbered.

ARCON’s aggressive stance signals a new chapter in the regulation of online marketing and the fight against digital exploitation.

With fake ads growing in sophistication, the regulatory body says it must now move just as fast and think just as smart.

For now, all eyes remain on how swiftly ARCON will translate its tough talk into action in the coming weeks.

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