Banks and social media companies to be fined over scams under new Australian laws touted as ‘strongest in world’

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Under the new laws, telecommunications companies, social media and banks could face fines of up to $50m

Companies could face fines of up to $50m for failing to prevent scams and may be forced to compensate victims under new laws the Albanese government says would give Australians the strongest anti-scammer protection in the world.

Under the legislation, which the government expects will pass parliament, social media companies would be responsible for the first time for scams that occur on their platforms.“The Albanese government is providing the strongest defences against scammers in the world,” the government said in a press release.

Jones previously said the shared liability meant if someone was targeted by a scam on social media and lost money from their bank account, the bank and the social media platform could be liable if they failed to put adequate protection in place. The responsible minister could set rules on how to apportion liability during the internal dispute resolution process to the business or businesses at fault, which the government says would help victims seeking redress.

 

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