Malaysia Pressures Facebook to Remove Illegal Gambling and Scam Ads
Social media platforms like Facebook are increasingly under scrutiny for hosting fraudulent advertisements, including illegal gambling and scams. In Malaysia, the Malaysian Communications and Multimedia Commission (MCMC) has called for the removal of nearly 250,000 such advertisements in 2023.
The Extent of Illegal Advertising on Facebook
Malaysia’s limited legal gambling options, such as licensed lotteries and horse race wagering, contrast sharply with the prevalence of illegal gambling ads on social media.
According to the MCMC, of the 249,268 flagged pieces of content on Facebook, 172,072 were directly linked to online gambling, while 56,136 were associated with scams.
This means nearly 92% of all flagged content related to unlawful gambling or fraudulent schemes, illustrating the significant role social media plays in promoting illegal activities.
Massive Financial Losses Reported
Fahmi Fadzil, Malaysia’s communications minister, revealed staggering financial losses attributed to these activities. Scams and illegal gambling facilitated through Facebook ads have cost Malaysians RM 432 million (over $97 million) in 2023 alone.
Despite the Commission’s limited authority to directly enforce ad removals, Fadzil emphasized the importance of filing removal requests with platforms like Facebook to combat these issues.
Facebook’s Revenue Under Scrutiny
Fadzil also raised concerns about Facebook’s advertising revenue in Malaysia, estimated at RM 2.5 billion. He argued that a significant portion of this income comes from advertisements for online investment scams, further complicating efforts to curb illegal activities.