Facebook has knowingly allowed fraudulent ads showcasing celebrities without their knowledge to promote scams. That says the Australian Consumer Authority in a new complaint.
Earlier, Meta, the parent company of Facebook, was also sued by well-known Dutch people who saw themselves presented in fraudulent advertisements, which they had nothing to do with themselves. Now the Australian consumer organization, the Australian Competition and Consumer Commission (ACCC), is also going to court in its own country.
This mainly concerns advertisements that use the image of a celebrity without their knowledge to promote, for example, crypto coins or outright scams. According to the regulator, they use Facebook’s algorithm to target vulnerable consumers.
“The heart of our matter is that Meta is responsible for these ads because it publishes them on its platform,” Rod Sims, the regulator’s chairman, said in a statement. These ads featured the likes of Mike Baird, Prime Minister of the New South Wales region, TV presenter David Koch and entrepreneur Dick Smith.
In the indictment, the ACCC states that Meta deliberately allowed the ads and did not stop them after complaints from the celebrities themselves. Last month, Australian billionaire Andrew Forrest also filed a lawsuit against Meta for using his image in advertisements. However, scam advertising is widespread.