Meta Sued Over Scam Ads by Australian Regulator

An Australian regulator has sued Meta Platforms Inc. claiming that it wasn't enough to remove deceptive ads promoting cryptocurrencies from Facebook. This fuels legal issues for the company making the legal troubles of the company even worse.

The Australian Competition and Consumer Commission reported in federal court that the scam ads are still being displayed on Facebook even after public figures all around the world have complained about their names and images being used without their consent. Insisted in federal court. One of them, Andrew Forrest, chairman and largest shareholder of Fortescue Metals Group Ltd. has filed a lawsuit against Meta in Australian and American courts over similar fake advertisements.

Meta said it has been cooperating with the regulator's investigation so far and intends to defend itself in court. The company states that it is using technology to detect and block fraudulent ads, and is trying to get ahead of scammers in an attempt to evade the detection system.

According to regulators, Meta's technology allows fake ads to target users who are most likely to interact with them. When users click a link in an ad to visit the ad's landing page, it generates substantial revenue for Facebook.

After the  Wall Street Journal published a series of articles entitled "Facebook Files," Meta faced increased regulatory oversight around the world. This revealed the damage caused by the social media company's platform and the challenges in dealing with those issues.