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 →
CBSE introduces facial recognition system for students to access digital documents
The Central Board of Secondary Education (CBSE) has introduced a facial recognition system for Class 10 and 12 students to access their digital academic documents. A live image of the student is compared with the photograph on their CBSE admit card and, if the match succeeds, the certificate is emailed to them. The facility is available on Digi Locker for 2020 records and is expected to help foreign students and those unable to open a Digi Locker account.
- Company involved
- Central Board of Secondary Education (CBSE)
- AI system involved
- Facial Recognition System
10 source articles · read the reporting →
ViaQuatro's facial recognition system in São Paulo metro challenged in court
In April 2018, ViaQuatro installed the Digital Interactive Doors System, developed by AdMobilize, on the São Paulo metro's yellow line. The system used cameras to detect passengers' faces and claimed to infer their emotion, age, and gender in order to target advertisements. The Brazilian Institute of Consumer Protection (IDEC) filed a public civil action alleging that the system violated consumer and data protection laws by processing biometric data without consent and making pseudoscientific and discriminatory inferences. A judge ordered the cameras removed in August 2018, and the case is pending a final ruling.
- Company involved
- ViaQuatro
- AI system involved
- Digital Interactive Doors System (DID system)
10 source articles · read the reporting →
Barteca Holdings v. Tacobarn (D. Connecticut): AI-hallucinated content in court filing, Monetary Sanction; Bar Referral
The attorney filed a court document containing AI-hallucinated legal authorities, misleading the court and opposing party.
- Company involved
- Hilary Miller
1 source article · read the reporting →
PwC develops facial recognition tool to monitor employees working from home
Accounting giant PwC has developed a facial recognition tool that logs when employees are absent from their computer screens while working from home. The tool, intended for financial institutions, requires workers to provide written reasons for any absences, including toilet breaks. Commentators have criticised the tool as a huge invasion of privacy, with concerns about damage to trust and increased stress. PwC stated that the technology is designed to help regulated institutions meet compliance obligations and that voluntary consent of traders is essential.
- Company involved
- PwC
8 source articles · read the reporting →
USPS algorithm RRECS causes pay cuts for two-thirds of rural mail carriers
The United States Postal Service (USPS) implemented a new algorithm, RRECS, to evaluate rural carrier routes and determine pay. Due to flaws in how carriers scanned packages, the algorithm underestimated route times, resulting in pay cuts for 66 per cent of rural carriers, some losing thousands of dollars annually. Carriers report that they were not adequately trained on the system and that the cuts are scheduled to take effect, though they have been postponed multiple times. The USPS stated that the system is the result of a nationally negotiated agreement.
- Company involved
- United States Postal Service
- AI system involved
- RRECS
9 source articles · read the reporting →
TOV Realty, LLC v. Suarez; Kosel Equity, LLC v. MacGregor (SC Connecticut): AI-hallucinated content in court filing, 6 hours CLE;…
The AI generated legal briefs containing fabricated citations, which were submitted to the Connecticut Supreme Court.
- Company involved
- GLG Law LLC
- AI system involved
- ChatGPT
1 source article · read the reporting →
EPIC lawsuit challenges USPS secret surveillance program using facial recognition
The United States Postal Service's law enforcement wing, the Postal Inspection Service, ran a secret surveillance program called the Internet Covert Operations Program (iCOP) that used facial recognition from Clearview AI and social media monitoring tools to infiltrate online communities and monitor protests. The Electronic Privacy Information Center (EPIC) sued the USPS for failing to conduct and publish a privacy impact assessment as required by the E-Government Act. A federal district court dismissed the lawsuit on standing grounds, ruling that EPIC did not suffer a cognizable injury from the agency's refusal to disclose information about the program.
- Company involved
- United States Postal Service
- AI system involved
- Internet Covert Operations Program (iCOP)
10 source articles · read the reporting →
LoanDepot algorithm denied mortgage to Black couple in Charlotte
In August 2019, Crystal Marie and Eskias McDaniels, a Black couple, were denied a mortgage for a house in Charlotte, North Carolina, by loanDepot's automated underwriting algorithm. The algorithm rejected the application because Crystal Marie was a contractor, not a full-time employee, despite her high credit score and income. After the couple enlisted their real estate agent and employer to intervene, the lender reversed the decision and cleared them to close. The couple alleged that race played a role in the denial, which loanDepot denied.
- Company involved
- loanDepot
- AI system involved
- Classic FICO and Fannie Mae/Freddie Mac automated underwriting software
10 source articles · read the reporting →
FTC settles with IntelliVision over deceptive facial recognition claims
The Federal Trade Commission (FTC) took action against IntelliVision Technologies Corp. for making false, misleading, or unsubstantiated claims about its AI-powered facial recognition software. The company allegedly claimed its software had one of the highest accuracy rates on the market and was free of gender or racial bias, without supporting evidence. The FTC also alleged that IntelliVision did not train its software on millions of faces as claimed, but on images of approximately 100,000 individuals. Under a proposed consent order, IntelliVision is prohibited from making such misrepresentations without competent and reliable testing.
- Company involved
- IntelliVision Technologies Corp.
- AI system involved
- IntelliVision facial recognition software
9 source articles · read the reporting →
ScaleFactor reportedly failed to deliver promised automated bookkeeping software
ScaleFactor, an Austin-based startup, is reported to have failed to deliver the automated, real-time bookkeeping tools it promised customers, instead relying on human bookkeepers and a Filipino contract accounting firm. The company told Forbes in June that it was shutting down, initially blaming the pandemic, but Forbes later reported that its problems predated Covid-19. Investors reportedly came to see the company as more of a services business than a software platform, and pulled funding after a pivot to a marketplace model. No legal or regulatory action is reported.
- Company involved
- ScaleFactor
10 source articles · read the reporting →
In re Rosslyn2016, LLC, et al. (S.D. Texas (Bankruptcy)): AI-hallucinated content in court filing, CLE on generative AI; Civil Contempt;…
The AI generated fabricated legal citations that were submitted to the bankruptcy court.
1 source article · read the reporting →
WorldCoin suspended in Kenya over data security concerns
WorldCoin, a digital identification protocol using iris scans, was suspended by Kenyan regulators (ODPC and Communications Authority) over concerns about data security, consent, and oversight. The system had issued digital IDs and cryptocurrency tokens to over 350,000 Kenyans. Reports of hacked orb operators and iris scans traded on the dark web have also emerged.
- Company involved
- Tools for Humanity GmbH
- AI system involved
- WorldCoin
10 source articles · read the reporting →
ООО «Точка опоры» v. ООО «ЦСС» (West Siberian District AC): AI-hallucinated content in court filing, Monetary Fine
The AI system generated fake legal citations that were submitted to the court, resulting in a fine for contempt.
- Company involved
- ООО «ЦСС»
1 source article · read the reporting →
IRCC uses AI triage for Temporary Resident Visa applications
Immigration, Refugees and Citizenship Canada (IRCC) uses an AI system called Advanced Analytics to triage Temporary Resident Visa applications from India and China. The system categorizes applications into tiers, with Tier 1 approved automatically and others sent to human officers. Critics allege the system lacks transparency and may introduce bias, leading to visa refusals without clear rationale. The author, a Canadian immigration lawyer, is filing Federal Court cases on behalf of clients affected by refusals.
- Company involved
- Immigration, Refugees and Citizenship Canada (IRCC)
- AI system involved
- Advanced Analytics Triage of Overseas Temporary Resident Visa Applications
10 source articles · read the reporting →
Presto Automation uses off-site human agents to double-check AI drive-thru orders
Presto Automation Inc, which markets an AI voice assistant for drive-thru ordering, used off-site human agents in countries including the Philippines to double-check orders in more than 70% of customer interactions, according to SEC filings reported by Bloomberg. The company told Bloomberg that the process helps train its system and should reduce human intervention over time. Presto's drive-thru AI is used in more than 400 restaurants, including Del Taco, Carl's Jr and Checkers, and its stock fell more than 10% after the reports.
- Company involved
- Presto Automation Inc.
8 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 →
California EDD's automated fraud detection wrongly suspended 600,000 legitimate unemployment claims
In January 2021, the California Employment Development Department used Thompson Reuters automated batch review software to flag 1.1 million unemployment claims as potentially fraudulent. EDD stopped payments on those claims without prior notice. Later, over 600,000 were confirmed as legitimate after claimants used ID.me to verify their identity. The incident highlights the trade-off between fraud prevention and timely benefit access.
- Company involved
- California Employment Development Department (EDD)
- AI system involved
- Thompson Reuters Automated Batch Review
7 source articles · read the reporting →
OnlyFake site uses neural networks to generate fake IDs, bypasses OKX verification
An underground website called OnlyFake uses neural networks to generate realistic photos of fake IDs for $15. The journalist tested the service and obtained a convincing California driver's license. They then used another fake ID to successfully bypass the identity verification process on OKX, a cryptocurrency exchange. The article alleges that this technology could streamline bank fraud and money laundering, but reports no actual financial loss.
- Company involved
- OKX
- AI system involved
- OnlyFake
10 source articles · read the reporting →
Swedish welfare agency's AI system flags marginalized groups for fraud investigations
Försäkringskassan, Sweden's Social Insurance Agency, uses an AI risk-scoring system to flag welfare applicants for fraud investigations. The system disproportionately targets women, individuals with foreign backgrounds, low-income earners, and those without university degrees, according to an investigation by Lighthouse Reports and Svenska Dagbladet. Amnesty International has called for the system to be discontinued, citing violations of the right to equality and non-discrimination.
- Company involved
- Försäkringskassan (Swedish Social Insurance Agency)
6 source articles · read the reporting →
Dutch Ministry of Foreign Affairs used secret algorithm to score visa applicants based on nationality
The Dutch Ministry of Foreign Affairs used a secret algorithm called IOB to score short-stay visa applicants based on nationality, gender, and age. Applicants flagged as high risk were automatically moved to an intensive track with higher rejection rates and delays. The ministry's own data protection officer warned of potential ethnic discrimination, but the system continued to be used. The algorithm has profiled millions of applicants since 2015.
- Company involved
- Ministry of Foreign Affairs
- AI system involved
- IOB
10 source articles · read the reporting →
CJEU rules Dun & Bradstreet must explain automated credit decisions under GDPR
A customer was refused a mobile phone contract because of an automated credit assessment by Dun & Bradstreet Austria. The customer took the case to court, which found that Dun & Bradstreet had infringed the GDPR by failing to provide meaningful information about the logic involved. The CJEU ruled that data controllers must explain automated decisions and that trade secrets cannot automatically override the right of access.
- Company involved
- Dun & Bradstreet Austria GmbH
7 source articles · read the reporting →
Worldcoin halts ID verification in Indonesia after regulatory freeze
Worldcoin, the digital identity project developed by Tools for Humanity, voluntarily paused its identity verification services in Indonesia on May 5, 2025, following a regulatory freeze by the Ministry of Communication and Digital Application. The ministry acted after preliminary investigations found that operating companies lacked required electronic system provider licenses. Worldcoin uses its Orb device to scan faces and irises to create unique digital identities. The company said it is committed to addressing any regulatory shortcomings and awaits clearer guidance.
- Company involved
- Worldcoin
- AI system involved
- World ID
3 source articles · read the reporting →
DWP algorithm approved Kickstart gateways with no trading history or based abroad
An FE Week investigation found that the Department for Work and Pensions (DWP) approved dozens of companies as Kickstart gateways through automated due diligence checks using the Cabinet Office Spotlight Tool, although some had little or no trading history or were based abroad. The DWP said gateways were subject to stringent checks and later said human checks were also used. After the findings were shared with the Treasury and the DWP, the department stopped taking gateway applications and scrapped the requirement for small employers to use gateways from 3 February.
- Company involved
- Department for Work and Pensions
- AI system involved
- Cabinet Office Spotlight Tool
3 source articles · read the reporting →
