Deloitte to refund Australian government after AI-generated report errors
Deloitte used generative AI (Azure OpenAI GPT-4o) to help produce an independent assurance review for Australia's Department of Employment and Workplace Relations. The report, published in July 2025, contained multiple errors including non-existent academic references and a fabricated court case. After the errors were flagged, Deloitte acknowledged the AI use and agreed to refund the final instalment of the A$439,000 contract. The report was corrected, but its substance and recommendations remained unchanged.
- Company involved
- Deloitte
- AI system involved
- Azure OpenAI GPT-4o
5 source articles · read the reporting →
EEOC sues iTutorGroup for automated rejection of older tutor applicants
The US Equal Employment Opportunity Commission (EEOC) alleges that tutoring provider iTutorGroup programmed its recruitment software automatically to reject female applicants aged 55 or older and male applicants aged 60 or older. More than 200 qualified US-based applicants were denied work in 2020. The EEOC has filed a lawsuit in the Eastern District of New York seeking back pay and damages.
- Company involved
- iTutorGroup
10 source articles · read the reporting →
Educational Testing Service's E-rater algorithm biases essay scores against minority students
The Educational Testing Service's E-rater algorithm, used to grade essays on the GRE and other standardized tests, has been found to systematically give higher scores to students from mainland China and lower scores to African American students compared to human graders. The bias stems from the algorithm's reliance on surface-level metrics like vocabulary and sentence length, which disadvantage certain groups. Despite studies dating back to 1999, the bias persists, and in many states, only a small percentage of essays are reviewed by humans.
- Company involved
- Educational Testing Service
- AI system involved
- E-rater
10 source articles · read the reporting →
NSW Education Standards Authority used AI-generated image in HSC English exam without disclosure
The NSW Education Standards Authority (NESA) used an AI-generated image as a stimulus in the 2024 HSC English exam without disclosing its origin. The image, created by Florian Schroeder using OpenAI's ChatGPT and Dall-E 2, was published on Medium in July 2023. Students suspected AI use due to irregularities in the image, and NESA initially declined to confirm. After the Sydney Morning Herald confirmed the image was AI-generated, NESA stated that students would be marked on their response to the question, not the image's origin.
- Company involved
- NSW Education Standards Authority
- AI system involved
- ChatGPT and Dall-E 2
6 source articles · read the reporting →
EU to trial AI lie detector at airports in Hungary, Latvia, Greece
The European Union is set to trial an AI-powered lie detector system called iBorderCtrl at airports in Hungary, Latvia and Greece. The system uses a virtual avatar to question passengers and monitors their facial expressions to detect deception. Privacy groups have raised concerns about bias and error rates, noting that the technology has only been tested on 32 people. The trial will require passenger consent and will be overseen by human guards.
- Company involved
- European Union (iBorderCtrl project)
- AI system involved
- iBorderCtrl
6 source articles · read the reporting →
China's vocational school students exploited as data annotators for AI
Vocational schools in China force students to work as data annotators for AI companies, paying subminimum wages and taking commissions. Students like Lucy in Shandong spent months labeling data for autonomous driving and content moderation systems, with little learning or career advancement. The practice continues despite new regulations.
2 source articles · read the reporting →
Middle schooler beats Edgenuity grading algorithm to get perfect score
A seventh-grade student in the Los Angeles Unified School District received a failing grade on a history assignment graded by Edgenuity's automated scoring algorithm. With help from his mother, a history professor, he reverse-engineered the algorithm by writing a paragraph with relevant keywords and a jumble of words, earning a perfect score. The incident highlights concerns about the accuracy and fairness of automated grading systems in education.
- Company involved
- Los Angeles Unified School District
- AI system involved
- Edgenuity
10 source articles · read the reporting →
Student flagged by ProctorU for reading aloud during exam
A college student, Dana Jo, was flagged by ProctorU test proctoring software for talking during an exam, which she says was reading a question aloud. Her professor initially gave her a zero and placed an academic infraction on her record, jeopardizing her scholarships. After reviewing a video recording, the professor apologized, reinstated her grade, and removed the infraction. ProctorU's CEO stated that the incident highlights the importance of video recordings for review.
- Company involved
- University (not named)
- AI system involved
- ProctorU
5 source articles · read the reporting →
DeepScore markets facial and voice analysis app for trustworthiness scoring despite experts' doubts
DeepScore, a Tokyo-based company, is marketing an app that uses facial and voice recognition to score people's trustworthiness for lenders and insurers in Japan, Indonesia, Vietnam and the Philippines. The company says the app can detect deception with 70 per cent accuracy, but researchers and privacy advocates say there is no reliable scientific basis for such judgments and warn of discrimination and privacy harms. The chief executive said the system is only one part of lenders' and insurers' decision-making and that people can choose not to use it. Critics respond that an unequal balance of power makes consent difficult.
- Company involved
- DeepScore
- AI system involved
- DeepScore
6 source articles · read the reporting →
UW-Madison disables Honorlock after skin tone recognition failure
The University of Wisconsin-Madison disabled the exam pause feature of its Honorlock anti-cheating software in March 2021 after three students complained that the software failed to recognize their darker skin tones and paused their exams. The software, used since online classes began, automatically pauses exams when it cannot detect facial features. Honorlock denied the issue was related to skin tone, attributing it to students looking away from their webcams. The university responded by disabling the feature.
- Company involved
- University of Wisconsin-Madison
- AI system involved
- Honorlock
10 source articles · read the reporting →
DCPS used allegedly false test scores in teacher value-added evaluations
The District of Columbia Public Schools used student test scores from schools under investigation for cheating in value-added calculations for teacher evaluations. More than 200 teachers were terminated based on these evaluations. Teachers can appeal their ratings to the chancellor, but decisions will not be made before the next school year. The school system removes affected scores only when cheating is confirmed.
- Company involved
- District of Columbia Public Schools
- AI system involved
- value-added model
10 source articles · read the reporting →
ElevenLabs AI voice generation used in Russian influence operation targeting Europe
The article reports that a Russian influence campaign, dubbed "Operation Undercut," very likely used ElevenLabs' AI voice generation technology to create realistic voiceovers for fake news videos. The videos targeted European audiences to undermine support for Ukraine. Recorded Future's researchers used ElevenLabs' own AI Speech Classifier to detect the AI-generated audio. The campaign was attributed to the Russia-based Social Design Agency, which the U.S. government sanctioned. The overall impact on public opinion was minimal.
- Company involved
- Social Design Agency
- AI system involved
- ElevenLabs AI voice generation
7 source articles · read the reporting →
ElevenLabs voice cloning tool used to create deepfake celebrity audio clips
Speech AI startup ElevenLabs launched a beta voice cloning tool. Within days, users on 4chan posted deepfake audio clips featuring voices resembling celebrities like Emma Watson reading offensive material. ElevenLabs acknowledged the misuse and said it is considering additional safeguards.
- Company involved
- ElevenLabs
- AI system involved
- ElevenLabs platform
10 source articles · read the reporting →
Study finds Midjourney, DALL-E 2, Stable Diffusion accept over 85% of fake news prompts
A study by AI startup Logically tested Midjourney, DALL-E 2, and Stable Diffusion and found that they accepted over 85% of prompts seeking to generate fake political news. The systems generated images of ballot stuffing, small boat arrivals, and explosions. Logically warned that the lack of moderation could pose threats to upcoming elections. Stability AI responded by stating its ethical use license and measures to prevent misuse.
- Company involved
- Midjourney, OpenAI, Stability AI
- AI system involved
- Midjourney, DALL-E 2, Stable Diffusion
8 source articles · read the reporting →
Answer.AI tests Devin and reports 14 failures in 20 tasks
Answer.AI's team tested Devin, an autonomous AI coding assistant, on 20 real-world tasks over a month. Devin succeeded in only 3 tasks, failed 14, and was inconclusive in 3. The team found Devin often produced overly complex or hallucinated solutions and could not recognize fundamental blockers. They ultimately decided to stick with tools that allow more human control.
- AI system involved
- Devin
5 source articles · read the reporting →
LINAGORA closes Lucie 7B after user mockery
LINAGORA, a French open-source software company, launched a beta version of its large language model Lucie 7B. The model was intended to be a transparent and ethical alternative to big tech AI. However, after users tested it and highlighted its shortcomings, the model was mocked online. LINAGORA subsequently closed the platform to address the issues and collect more data.
- Company involved
- LINAGORA
- AI system involved
- Lucie 7B
6 source articles · read the reporting →
Polish DPO investigates OpenAI over ChatGPT false data and lack of transparency
The Polish data protection authority (UODO) is investigating a complaint against OpenAI concerning ChatGPT. The complainant alleges that ChatGPT generated false information about him, and that OpenAI failed to correct it or disclose what data it holds, violating GDPR principles of lawfulness, fairness and transparency. The complainant also claims OpenAI did not fulfil its information obligations under Article 12 and Article 5(1)(a) GDPR. UODO has stated it will examine the systemic compliance of OpenAI's data processing with European data protection law.
- Company involved
- OpenAI
- AI system involved
- ChatGPT
9 source articles · read the reporting →
Purdue study finds ChatGPT wrong over half the time on software questions
A study by Purdue University found that ChatGPT provided incorrect answers to over half of 517 software development questions from Stack Overflow. Despite the errors, 34% of users preferred ChatGPT's answers over human responses. The study warns that relying on ChatGPT for coding could jeopardize programmers' professional reputations.
- Company involved
- OpenAI
- AI system involved
- ChatGPT
9 source articles · read the reporting →
ETH Zurich study shows LLMs can infer Reddit users' personal data
Researchers at ETH Zurich conducted a study where nine large language models, including GPT-4, analysed Reddit users' posts and inferred personal attributes such as age, location, gender, and income with up to 85% accuracy. The study randomly selected 520 users and found that GPT-4 was most accurate, while LlaMA-2-7b was least. The researchers warn that people unknowingly reveal personal information online that LLMs can exploit.
- Company involved
- ETH Zurich
- AI system involved
- GPT-4, LlaMA-2-7b
4 source articles · read the reporting →
DeepSeek-R1 censors 85% of sensitive Chinese political prompts in tests
Promptfoo tested DeepSeek-R1 against a dataset of 1,360 politically sensitive prompts and found that about 85% of them were refused. The refusals followed a standard form aligned with Chinese Communist Party policy. The testing also demonstrated that the censorship could be trivially bypassed using simple jailbreak techniques, such as prompt injection or changing the context.
- Company involved
- DeepSeek
- AI system involved
- DeepSeek-R1
5 source articles · read the reporting →
New York City Department of Education blocks ChatGPT on school devices
The New York City Department of Education blocked access to the AI chatbot ChatGPT on school devices and networks, citing concerns about negative impacts on student learning and the safety and accuracy of content. The ban applies to all students and teachers on education department devices and internet networks. Individual schools can still request access for studying the technology. The move is the nation's largest school system's response to the arrival of ChatGPT.
- Company involved
- New York City Department of Education
- AI system involved
- ChatGPT
9 source articles · read the reporting →
Cigna StressWaves Test found unreliable and invalid in independent study
A study published in Scientific Reports evaluated the Cigna StressWaves Test (CSWT), an AI tool that claims to assess psychological stress from speech. The study found that the CSWT had poor test-retest reliability and poor validity compared to the Perceived Stress Scale. The authors warned that widespread availability of the tool could lead to misleading results and negative consequences for users making healthcare decisions. Cigna has not publicly responded to the findings.
- Company involved
- Cigna
- AI system involved
- Cigna StressWaves Test
4 source articles · read the reporting →
Teleperformance deploys AI to neutralise Indian call centre agents' accents
Teleperformance, the world's largest call centre operator, has announced it is using AI from Sanas to modify the accents of its Indian employees in real time. The technology, called accent translation, aims to make agents sound more neutral to native English speakers. The company invested $13 million in Sanas and gained exclusive rights. No specific incident of harm has been reported.
- Company involved
- Teleperformance
- AI system involved
- Sanas AI
6 source articles · read the reporting →
FTC settles with DoNotPay over deceptive AI lawyer claims
The FTC took action against DoNotPay, a company that claimed to offer an AI service that was 'the world's first robot lawyer.' The company promised to generate legal documents and replace human lawyers, but the FTC alleged it failed to test its AI output and did not hire any attorneys. DoNotPay agreed to a settlement requiring it to pay $193,000 and notify consumers about the limitations of its service.
- Company involved
- DoNotPay
- AI system involved
- DoNotPay
7 source articles · read the reporting →
