Connect with us

Hi, what are you looking for?

Crypto News

The Australian Competition And Consumer Commission Slams Lawsuit on Meta Over Scam Cryptocurrency ads

Small toy figures are seen in front of displayed Facebook's new rebrand logo Meta in this illustration taken, October 28, 2021. REUTERS/Dado Ruvic/Illustration
  • ACCC hit Meta with a lawsuit
  • The case will be heard at a federal court
  • ACCC chairman laments Meta’s involvement in the scams

The Australian Competition and Consumer Commission has announced that it has officially slammed a lawsuit on Meta. The case, which will be heard at a federal court, alleges the role of Meta in the scam ads that are being published on its website. These scam ads, which often maliciously involve different celebrities, have made thousands lose their hard-earned money to criminals.

The case will be heard at a federal court

The issue emanates from a previous lawsuit slammed on the company by Andrew Forrest. After a while, the ACCC said that it is conducting a thorough investigation into the activities of Facebook over the said crimes. Forrest noted that he had faced much backlash over criminal ads carried out on his name, making investors lose money.

In its announcement, the ACCC pointed accusing fingers at Meta, noting that the firm was either in the know about the crimes or was aiding the criminals. The ACCC pointed at a long list of malicious advertisements on the Meta website in the name of prominent Australian figures like Dick Smith, Mike Baird, and David Koch, a TV presenter.

ACCC chairman bemoans Meta’s involvement in the scams

According to the ACCC, the modus operandi of the scams were to lure unsuspecting victims onto an entirely different site with testimonies from these public figures. After this, users would automatically sign up, and after a lot of convincing via phone calls, they would invest funds on the platform. Notably, most of these investments are made due to the fake endorsements by these celebrities.

According to a statement by the Chairman of the ACCC, Rod Sims, Meta is involved in these criminal acts because they are plastered across the company’s website. He also buttresses that the company could not remove the ads as it would cost them funds. Sims also mentioned that Meta had tailored algorithms to ensure that these ads eventually reach the audience they were meant for at a particular time.

This is because Facebook stood to gain when users eventually click on the links that will take them to the intended platform. According to records, a consumer has lost close to $650,000 in one of these scams. ACCC has said that the activities of Facebook have kicked against the laws stated in the Securities and Consumer laws of Australia.



The launch of new spot Bitcoin (CRYPTO: BTC) ETFs in January was a watershed event for the crypto industry. Arguably, it was Wall Street’s biggest new product...


US-based Wells Fargo publicly announced its spot Bitcoin ETF investments in a statement to the US Securities and Exchange Commission (SEC). On the other...

Bitcoin Mining

The mining industry for Bitcoins incurred a sizeable debt load during the bull market of 2021, which hurt their financial health during the subsequent...


Ripple is attempting an upside break above the $0.365 resistance zone against the US Dollar. XRP price could fail to gain pace if it...