Nov 5 (Reuters) - A federal judge dismissed a proposed

class action lawsuit accusing Google of illegally

profiting from Google Play gift card scams by refusing to refund

millions of dollars stolen from victims.

In a late Monday decision, U.S. District Judge Beth Labson

Freeman said the plaintiff Judy May lost money because scammers

induced her to buy gift cards, and failed to show that Google

caused her losses or knew it was receiving stolen funds.

The San Jose, California-based judge also said Google was

not liable for keeping 15% to 30% commissions on purchases that

scammers made with the gift cards, because Google's conduct was

unrelated to the original fraud.

May said she lost $1,000 in April 2021 when a scammer posing

as a relative instructed her to contact a supposed government

agent, who told her she was eligible for federal grant money if

she bought Google Play gift cards.

The Brownsville, Indiana resident said she provided the

codes on the back to cover supposed upfront costs, but the

scammers used the codes to make purchases.

May said she would not have bought the cards had Google

warned on the packaging about scams, and that anyone demanding

payment with the cards was a scammer.

Lawyers for May did not immediately respond on Tuesday to

requests for comment. Google, a unit of Alphabet, did not

immediately respond to similar requests.

Freeman said May could try to refile her lawsuit, but

dismissed a claim seeking triple damages for good. Alphabet is

based in Mountain View, California.

In 2023, Americans lost $217 million in gift card or reload

card fraud, according to the Federal Trade Commission.

The actual amount is likely much higher because the data

cover only reported cases. Citing FTC data from 2021, May said

Google Play cards account for about 20% of gift card scams.

The case is May v Google LLC et al, U.S. District Court,

Northern District of California, No. 24-01314.