# Meta content and advertising scrutiny in Australia

> Live situation record from CLSTR: https://clstr.news/situations/meta-content-and-advertising-scrutiny-in-australia
> Updated: 2026-08-17T12:51:24.000Z. Sources: 13. Developments: 2.

Meta is facing scrutiny in Australia regarding its content moderation and advertising oversight. An investigation by ABC News revealed that the company’s invitation-only Facebook Content Monetization program has paid revenue to controversial creators, including far-right agitators, white nationalists, and individuals associated with vaccine misinformation.

Separately, Meta is under pressure as Facebook and Instagram advertisements have been found promoting illegal online casinos and unregulated gambling simulators to millions of users. These advertisements often link to offshore operators or use fake apps to spoof established brands. While the Australian Communications and Media Authority (ACMA) has identified these issues, legal loopholes currently limit the regulator’s ability to enforce the removal of such content.

## Claims

- Meta estimates that potential damages in the trial could reach $1.4 trillion. (corroborated by 8 sources)
- Plaintiffs allege Meta used features like infinite scroll, autoplay, and beauty filters to maximize engagement among young users. (corroborated by 8 sources)
- California, Colorado, Kentucky, and New Jersey are the lead states in the litigation. (corroborated by 6 sources)
- The lawsuit alleges Meta violated COPPA by collecting data from children under 13 without parental consent. (corroborated by 5 sources)
- Meta denies the allegations, calling the claims unsubstantiated and the financial demands disproportionate. (corroborated by 4 sources)
- State attorneys general suggest a more realistic damages figure is $200 billion. (corroborated by 3 sources)
- The federal trial in Oakland is expected to last approximately six weeks. (corroborated by 3 sources)
- Plaintiffs are seeking structural changes to Meta's platforms, including modifications to recommendation algorithms and age verification processes. (corroborated by 3 sources)

## Timeline

### 2026-08-17: Meta faces landmark trial over teen mental health and addictive platform design

Meta faces a landmark federal trial in California over allegations that Facebook and Instagram were designed to be addictive to minors, potentially facing up to $1.4 trillion in damages.

10 sources. https://clstr.news/cluster/meta-faces-pressure-over-illegal-gambling-ads-in-australia

### 2026-08-10: Meta paid controversial creators through Facebook monetization program

An investigation found Meta's Facebook monetization program has been paying controversial Australian creators, including white nationalists and those spreading misinformation, despite platform policies.

3 sources. https://clstr.news/cluster/meta-paid-controversial-creators-through-facebook-monetization-program

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Cite as: Meta content and advertising scrutiny in Australia. CLSTR, https://clstr.news/situations/meta-content-and-advertising-scrutiny-in-australia