[The ads - complete with bogus testimonials - promise Facebook users they can make tens of thousands of dollars a month if they simply sign up to post links under a "Google advertising" program.
Before signing up, people are required to submit personal details including their debit or credit card information to pay a $US1.90 sign-up fee.
But the entire venture is a scam with no ties to Google, and is designed to trick Facebook's 175 million users into handing over their banking details.
People on the RipOffReport.com website said they were charged hundreds of dollars and attempts to obtain a refund were fruitless.
To test whether the ads were being let through deliberately or if they were automatically generated once requested by the advertiser, a reader, who did not want to be named for fear she would be kicked off the site, attempted to place her own ad warning people of the scams.
She submitted a headline "Don't be fooled by scams" next to a photo of a stack of $100 bills, the same image used in some of the scam ads.
The accompanying message was: "This site is not monitoring the ads that are being placed here despite stating otherwise. If they were how would this ad get through."
To the reader's surprise, Facebook rejected the ad, saying it "is not representative of the product or service being advertised".
"That shows that someone is monitoring the ads that are placed, so Facebook can't say they have no control over the situation," she said.
The scam ads lead to several websites instructing people how to become involved in the scheme.
In one, a man who identifies himself as "Tom Steinbach" boasts of earning "at least $20,000 a month posting links on Google, doing almost nothing". The claim is accompanied by pictures of a cheque for $US27,000 and of a man standing next to a Ferrari.
Another site run by "Kevin Hoeffer" follows the same formula with an image of a cheque, bogus testimonials and a phony story about how Hoeffer lost his job but was now earning thousands of dollars a month "just submitting small texts and ads online on Google".
Google runs an AdSense program allowing publishers to earn revenue by placing advertisements served by Google on their websites, but said these scam sites had nothing to do with the AdSense program.
A spokesman for Google said the search giant's legal team was reviewing the scam sites and would "take appropriate action as necessary".
Despite saying that it vetted ads before they went up, Facebook said it relied on users to report bogus ads.
"Like other mediums such as television and radio, as well as other websites, we receive ad submissions from a wide variety of businesses, including some who promote work-from-home schemes," the company said in a statement.
Facebook said it provided mechanisms for people to provide immediate feedback on ads they find offensive, misleading or otherwise inappropriate. A dedicated team would investigate all reports.
"We have removed certain types of ads from our system because users have reported them as scams," the company said.
"We will continue to take user feedback into consideration as we evolve our advertising systems and policies in order to maintain a trusted environment."]
Now Facebook denies all this. The same report says - "The social networking site said last week that it had removed the ads but several readers wrote in to say this was not the case and the ads were still live on the site as late as this morning."
So go ahead. Try your luck
Image : Sydney Morning Herald