VNLOK, the Dutch online gambling association, announced that it is about to take Facebook’s parent company, Meta, to court. The trade body explained that its planned legal action is due to Meta’s continued failure to prevent illegal gambling ads from appearing across its platforms to customers in the Netherlands.
The VNLOK explained that Meta’s Facebook and Instagram platforms have been unable to weed out unlicensed gambling ads. As a result, vulnerable players in the Netherlands have been bombarded with such content, exposing them to potential harm.
This comes as the Netherlands experiences concerns related to the growth of the black market, the country’s declining channelization rates, and a spike in gambling harm among younger players.
According to the VNLOK, Meta has succeeded in removing only 5% of all illegal gambling ads. Because of that, the VNLOK slammed Meta’s measures to prevent gambling ads as “structurally inadequate” and accused the tech giant of refusing to enter into a “substantive conversation” about its shortcomings.
As a result, the VNLOK determined that legal action was the only way forward that made sense. In addition to that, the trade body added that it will engage the European Commission.
Illegal Gambling Threatens the Dutch Economy and Customers
The VNLOK emphasized that it is very critical of Meta’s way of handling such issues, accusing the tech company of taking action only after the damage has been done. The VNLOK described this as “mopping with the tap still running.”
While the Kansspelautoriteit has been filing thousands of illegal gambling ad reports a month, black market operators have kept on returning with new ones. As a result, the VNLOK asked Meta to comply with its legal obligations and tackle the issue at its core.
Björn Fuchs, president of the VNLOK, emphasized that illegal gambling ads are a serious threat to the Dutch economy and consumers.
This is not only an economic problem, but above all a major risk to consumer protection. Illegal providers do not adhere to rules around addiction prevention and actively target vulnerable groups such as minors and problem players.
Björn Fuchs, president, VNLOK
Earlier this year, the VNLOK urged the government to reassess its new tax policy, arguing that the increased tax has hurt the legal sector and made it less competitive.