They should ban - and file criminal charges against - the developer who uploads a Bank of America app but isn't Bank of America. They should not do that against developers who upload their own non-fraudulent apps. Why is this concept difficult to understand?
Asking seriously. I don't get why these types of questions even come up. Google already claims to manually review all apps, so they know the Bank of America app isn't Bank of America, so why is it even allowed on the store? Why would anyone think it's hard for them to draw a line that would exclude fake Bank of America apps, but wouldn't exclude normal apps? I could understand the concern if it was a completely unmoderated store, or if the only tools available were some kind of keyword filtering. But that is not the case.
Quite simply: Because you can't have one without the other and you're living in a dream world if you think that your kind of outcome is even possible with a setup where a private megacorporation takes over the role of prosecutor, court and police.
No matter how you scream, if you demand Google play the cop, they'll play the cop in the easiest, cheapest possible way in situations where anything is unclear. The situation in this very topic was exactly caused because Google is trying to play a cop while crushing small devs underneath their anti-fraud measures.
There are no better outcomes in this situation. Not on Play Store, not on AppStore, not on any other store. Megacorps can't be cops, courts and enforcers at once and do a good job of it.
Let's talk more when you decide that perhaps policing should remain in hand of governments where it belongs.
We can, and we do. We already do this for not-digital stores. We've just gotten so greedy that we just throw our hands up and say "nope! Impossible!" when it comes to internet stores.
Guess what, I can go to Walmart and buy just about fucking anything and I can be very certain:
1. It won't kill me or seriously harm me if used in a manner consistent with it's instructions.
2. The product is what it says it is.
3. The product will do what it says it will do, to a reasonable expectation.
How did they do it? Did they burn the company to the ground with all this anti-fraud? No. And, I will give you this, they do get some help from consumer protection agencies like the FDA. But they put in effort, too. For example, the above does not apply to Amazon!