Meta is facing scrutiny in Australia after Facebook and Instagram carried advertisements for offshore gambling services, including sites impersonating established casino brands. The issue has exposed limits in Australian law and could lead to stronger enforcement powers for the Australian Communications and Media Authority (ACMA).
Illegal Casino Advertising Draws Attention
An investigation published on August 14 found advertisements for offshore casinos, poker machine applications, and roulette and blackjack simulators. Some directed users to “scambling” websites, where winnings could allegedly be impossible to withdraw. Affiliate marketers reportedly place some advertisements and can receive commissions of up to 20 percent from referred customers’ losses.
Under the Interactive Gambling Act 2001, ACMA must establish that most people accessing a gambling website are physically located in Australia before determining an advertising breach.
That requirement creates difficulties for internationally operated platforms. ACMA can ask Meta to remove problematic advertisements but lacks authority to compel removal under the existing framework.
During 2025–26, ACMA investigated 70 offshore gambling services and found breaches in all of them. It also secured the blocking of 49 websites.
Proposed Rules Would Expand Regulator Powers
The federal government introduced the Interactive Gambling Amendment (Gambling Reform) Bill 2026 on July 2. The legislation would allow ACMA to issue removal notices for illegal gambling advertisements on online content services.
It would also require internet service providers, DNS providers, app distribution services and search engines to block access to designated illegal gambling operators. Banks and payment providers would face obligations to prevent transfers to those services.
Most provisions are scheduled to begin on January 1, 2027. A Senate inquiry is considering the legislation and is due to report on August 17.
The Australian dispute has parallels in the Netherlands, where licensed gambling operators’ trade body VNLOK began legal proceedings against Meta in June. The group also complained to the European Commission, alleging that Facebook and Instagram carried illegal gambling advertisements aimed at Dutch users.
VNLOK reported more than 70,000 gambling-related advertisements reached Dutch users during the final quarter of 2025. It estimated that over 95 percent came from unlicensed operators. Separate research commissioned with the organisation estimated illegal gambling advertisements reached about 37.9 million Dutch users in March 2026, with most impressions reaching people younger than 24.
Meta Response Faces Wider Scrutiny
The Dutch case relies on the European Union’s Digital Services Act. VNLOK is seeking a court declaration that Meta breached the rules and should face liability, alongside daily penalties for non-compliance.
Meta said illegal gambling requires coordinated action involving regulators, hosting companies and domain registrars. It said it disabled advertising accounts connected to brand impersonation and removed more than 159 million scam advertisements worldwide during the previous year.
Critics have questioned whether Meta already has the technology to identify such advertising. Gambling Policy Hub director Lauren Levin pointed to similar filtering in Ireland and Indonesia. Charles Livingstone of Monash University also cited Meta’s response to copyright complaints as evidence of its detection capabilities.
The Australian and Dutch cases could influence how regulators address illegal gambling advertising on global platforms, particularly where enforcement powers struggle to match social media’s reach.
Source:
“Spoof casinos and scambling sites: Meta faces scrutiny over Australian gambling ads”, agbrief.com, August 16, 2026
The post Meta Faces Scrutiny Over Australian Gambling Ads first appeared on RealMoneyAction.com.