Meta faces scrutiny over illegal gambling ads in Australia

Meta faces scrutiny over illegal gambling ads in Australia

Facebook and Instagram are reportedly carrying ads for offshore casinos, with a legal loophole limiting options to force Meta to remove them.

Australia.- Meta is facing renewed scrutiny in Australia after reports of Facebook and Instagram carrying advertisements for illegal online casinos targeting Australian users. The Sydney Morning Herald has reported that ads allegedly promote offshore casino sites, including websites impersonating established brands such as Crown Melbourne and Star, neither of which operates online gambling.

Some of the ads were reportedly placed by affiliate marketers who receive commissions of up to 20 per cent of customers’ losses. Others direct users to so-called “scambling” sites, which appear to offer gambling but allegedly prevent players from withdrawing winnings.

The Australian Communications and Media Authority (ACMA) currently cannot force Meta to remove the ads because of a provision in the Interactive Gambling Act 2001. The regulator must establish that most people accessing a site are physically located in Australia before determining that an advertising breach has occurred. As a result, ACMA can often only ask Meta to remove offending advertisements voluntarily. The gambling reforms currently before Parliament would change this, allowing ACMA to issue removal notices for illegal gambling ads accessible to Australian users,

The proposed legislation would require internet service providers, search engines, app stores and payment providers to help block access to illegal gambling operators. The changes are expected to take effect from January 1, 2027, subject to the parliamentary process.

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