Australia that it is suing Facebook owner Meta for bitcoin fraud ads claiming to be approved by celebrities.
The Australian Consumer Protection Commission said Meta Platforms had been charged with “false, misleading or deceptive behaviour” under consumer and securities laws.
It accused Meta of not doing enough to stop cryptocurrency or money-making scam ads, despite being notified by celebrities depicted in similar Facebook ads.
Meta pledged to defend itself, claiming it used technology to detect and remove bogus adverts.
No ads seeking to defraud or mislead users on Facebook, according to a Meta representative.
The social media behemoth claimed it had assisted the Australian Competition and Consumer Commission. The advertising featured well-known Australians such former NSW premier Mike Baird and businessman Dick Smith, the commission said.
But the celebrities in the advertising never approved or promoted them, it said.
This harms the reputation of the prominent people mistakenly identified with these advertising, said the commission’s chair, Rod Sims.
According to him, Meta did not take adequate steps to stop phoney celebrity endorsement bitcoin scam ads even after the prominent figures complained.
The commission said it knew of one customer who had lost over $500,000 in one of the Facebook investment frauds.