Meta is Sued by Watchdog for Scammed Crypto Advertisements

Meta is again under the knife as there are some serious allegations on the social media platform. There is a statement released today. The Australian Competition and Consumer Commission (Watchdog) has filed a lawsuit against Meta and its platform in Ireland. It is alleged that they are engaged in bogus, misleading, or deceiving conduct by posting scam ads. These ads are featuring notable Australian public figures.

Allegation by Watchdog

The ACCC claims that the advertising, which marketed cryptocurrency or money-making programs. It misled Facebook consumers into believing that the claimed schemes were linked to well-known personalities featured in the commercials. Including businessman Dick Smith, TV presenter David Koch, and ex NSW Premier Mike Baird. The projects were all scams, and none of the people portrayed in the advertisements had ever approved or supported them.

The ads comprised of links to a false news item with statements ascribed to the public figure mentioned in the advertisement. The figure was advocating a cryptocurrency or income scheme. Consumers will then urge to sign up. After which the scammers approach them by using high-pressure methods. Such as frequent phone calls to persuade them to deposit money into the fake schemes.

ACCC Stance

“The core of our argument is that Meta is liable for the advertisements it posts on its platform,” stated ACCC Chair Rod Sims. “With Facebook analytics, it is a significant component of Meta’s business to allow advertisers to target consumers who are most prone to open the link in an advertisement and visit the ad’s homepage.” These ad-driven landing page visits bring in a lot of money for Facebook.”

Meta has accusation of failing to prevent “publishing of false ads even after celebrities complained similar false, inaccurate, or deceptive adverts to Meta,” according to the ACCC complaint. The ACCC is now looking for unknown declarations, fines, costs, and other actions.

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