The Australian Competition and Consumer Commission has filed a lawsuit against Meta, formerly Facebook, for “publishing scam advertisements featuring prominent Australian public figures.” The regulator said, “The essence of our case is that Meta is responsible for these ads that it publishes on its platform.”
Meta Sued to Publicize Cryptocurrency Scam Ads
The Australian Competition & Consumer Commission (ACCC) announced Friday that it has taken legal action against Meta Platforms Inc. (formerly Facebook) and Meta Platforms Ireland Ltd.
Australia’s competition regulator alleges that the companies “engaged in false, misleading or deceptive conduct by publishing scam advertisements featuring prominent Australian public figures” on Facebook.
The ACCC alleges Meta’s conduct “was in breach of the Australian Consumer Law (ACL) or the Australian Securities and Investments Commission Act (ASIC Act).” In addition, the regulator noted:
Meta is also accused of aiding and abiding or being knowingly involved in misleading or false conduct by advertisers.
The ACCC explained that the ads “promoted investment in cryptocurrency or money-making schemes.” They featured well-known people, such as “businessman Dick Smith, TV presenter David Koch and former NSW Premier Mike Baird,” the ACCC noted, adding that Facebook users were led to believe these scams were genuinely associated with these celebrities.
ACCC Chair Rod Sims said:
Meta is the one responsible for publishing these ads on its platform. This is what we are trying to prove.
Meta, the competition regulator stated that he was aware of cryptocurrency scam advertisements on Facebook. However, despite receiving complaints from celebrities about their names and images being used without permission, he did not take enough steps to resolve the problem.
The ACCC is seeking “declarations, injunctions, penalties, costs and other orders,” the regulator detailed.
Meta, do you believe they should be prosecuted for posting crypto scam advertisements on Facebook? Please let us know what you think in the comment section.
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