New Government Regulations Hold Banks, Social Media, and Telcos Financially Accountable for Scam Losses

Banks, social media platforms, and telecommunications companies will soon be held financially accountable for scam-related losses incurred by consumers if they are found responsible, under new government regulations. In an address at the National Press Club on July 31, Assistant Treasurer Stephen Jones announced the government’s plan to implement codes that will enforce stricter obligations on all stakeholders—banks, telecommunications companies, and social media platforms—to assist consumers. “If they drop the ball and a victim loses money, they’ll be liable to compensate the victim,” Jones said. “That liability may be shared among multiple businesses, as scams often involve more than one bank or payment system....