Dutch billionaire, John De Mol has reportedly filed a lawsuit with the Amsterdam District Court against social media giant, Facebook, regarding a fake cryptocurrency ad they allowed to run on their platform.
Reuters notes that De Mol’s filing alleged that Facebook had approved an advert where fraudsters used Mol’s picture to promote fake giveaways and campaigns asking users to send them Bitcoin.
The allegedly fraudulent ads claimed that the cryptocurrency businesses that they promoted had De Mol’s backing even though in reality, this was far from the truth and only ruined the billionaire’s reputation.
To make matters worse, the court filing against Facebook claims that investors had lost as much as €1.7 million (appr. $1.9 million) to the fraudsters behind the fake De Mol ad.
Facebook was thus, accused of not properly vetting the ads that run on its platform even though the social media platform had said in the past that it does not allow crypto-related ads to run on its platform.
The filing reportedly seeks to get the court to order Facebook to improve its vetting process for ads, albeit the social media company said it removed the ads once it received complaints from the offended.
Regarding Facebook’s allegedly flawed routine checks for crypto ads, Jacqueline Schaap one of the lawyers representing John De Mol said,
“I don’t know what reality Facebook lives in, but that doesn’t work.”
Meanwhile, Facebook’s director of product management Rob Leathern told Reuters that their platform takes “misleading ads that violate [Facebook’s] policy and those that feature public figures, very seriously.”
At the end end of the court session, Judge Remmine Dudok van Heel who presided over the lawsuit suggested that the warring parties could reach an agreement regarding the dispute.
In another news involving Facebook, Stmarket.co reported earlier this week that the company has met with the U.S Commodity and Futures Trading Commission (CFTC) regarding the launch of its proposed cryptocurrency.