Where automated decisions went wrong

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 →

Spanish police bust $20M AI-powered investment scam

Spanish law enforcement, collaborating with international authorities, dismantled a $20 million investment scam that used AI-driven algorithms to deceive individuals and organizations. Six suspects were detained and assets, including luxury cars and cryptocurrency, were seized. The article does not report any compensation for victims.

5 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 →

Queensland police trial AI to predict domestic violence risk

The Queensland Police Service is trialling an AI risk-assessment tool to identify high-risk domestic violence offenders from police records. Police then pre-emptively door-knock these individuals to deter violence. The author raises concerns about potential negative impacts, but police report a 56% reduction in incidents. The AI was developed in-house to increase transparency.

Company involved

Queensland Police Service

9 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 →

PimEyes faces fine proceedings over biometric facial recognition in Baden-Württemberg

PimEyes, a facial recognition search engine, is accused of scraping images from the internet and processing biometric data without a valid legal basis under the GDPR. The data protection authority of Baden-Württemberg (LfDI) opened fine proceedings after it found PimEyes's response to its questions inadequate. PimEyes argues that the images it processes are publicly available and not personal data. The LfDI says the processing endangers citizens' rights and freedoms and is not covered by the GDPR exceptions.

Company involved

PimEyes

AI system involved

PimEyes

9 source articles · read the reporting →

Delta uses AI from Fetcherr for domestic ticket pricing

Delta Air Lines is using generative AI from Fetcherr to determine some domestic flight prices, currently covering 3% of its network with plans to reach 20% by end of 2025. Democratic senators expressed concern that the AI could be used for individualized pricing based on personal data, leading to higher fares. Delta denies using personal data in pricing and states it complies with regulations. No actual harm has been reported.

Company involved

Delta Air Lines

AI system involved

Fetcherr

8 source articles · read the reporting →

FTC investigates OpenAI over ChatGPT data leak and inaccuracy

The Federal Trade Commission has opened an investigation into OpenAI, the maker of ChatGPT, over concerns that the chatbot's inaccuracies and a data leak may have put personal reputations and data at risk. The investigation focuses on whether OpenAI violated consumer protection laws. The company has not yet responded publicly to the investigation.

Company involved

OpenAI

AI system involved

ChatGPT

6 source articles · read the reporting →

Audit of RisCanvi finds biases and reliability issues in criminal justice system

Eticas conducted an adversarial audit of RisCanvi, an AI risk assessment tool used in Catalonia's criminal justice system. The audit uncovered biases in risk classifications against specific demographics and significant reliability issues. The findings call for fairer practices in criminal justice AI.

Company involved

Catalonia's criminal justice system

AI system involved

RisCanvi

4 source articles · read the reporting →

Microsoft Dynamics 365 Field Service AI singles out workers in performance predictions

A report by Cracked Labs found that Microsoft's Dynamics 365 Field Service software uses AI to generate performance metrics and predict task durations, singling out individual workers. The AI predictions can be influenced by the worker's identity, such as increasing or decreasing estimated duration. Microsoft stated the system is not intended for employment decisions and is not a surveillance tool, but the report raises concerns about potential misuse for worker monitoring.

Company involved

Microsoft

AI system involved

Dynamics 365 Field Service

6 source articles · read the reporting →

Singapore Firm Defrauded of $499K in Deepfake CEO Video Call Scam

In March 2025, a finance director at a multinational firm in Singapore authorised a US$499,000 payment during a Zoom call that appeared to include the company's CFO and other executives. The call was a deepfake, with AI-generated likenesses and voices. The fraudsters used the impersonation to request an urgent fund transfer for a purported acquisition. The company later discovered the deception and reported it to Singapore police.

2 source articles · read the reporting →

Scammers Use AI to Create Fake Joann Fabrics Websites to Steal Credit Card Data

After Joann Fabrics filed for bankruptcy in January 2025, scammers used AI to create impostor websites mimicking the retailer's site. These fake sites offered deep discounts to trick shoppers into providing credit-card information and personal data. Customers who placed orders never received products and had their payment information compromised. The incident highlights the growing use of AI by cybercriminals to create convincing fake websites.

2 source articles · read the reporting →

Bahia Facial Recognition System Misidentifies Black Man as Wanted Criminal

Davi, a black administrative assistant, was tracked across 15 metro stations and approached by police after Bahia's facial recognition system falsely matched him to a wanted person. He was released after officers verified his identity. The system, supplied by Iecisa and Huawei, has a low accuracy rate and disproportionately affects black people. The government plans to expand it despite concerns over racial bias and errors.

Company involved

Secretaria de Segurança Pública da Bahia

2 source articles · read the reporting →

Palantir secretly tested predictive policing in New Orleans

Beginning in 2012, Palantir Technologies secretly partnered with the New Orleans Police Department to deploy a predictive policing system. The programme analysed gang affiliations, social media and criminal histories to forecast individuals’ likelihood of committing or becoming victims of violence, operating without public knowledge or city council oversight. Researchers and law enforcement officials raised concerns about systemic bias and civil liberties. As of 2018, the city and Palantir had not disclosed the programme’s status.

Company involved

New Orleans Police Department

1 source article · read the reporting →

Adobe Firefly trained on thousands of Midjourney images, Bloomberg reports

Bloomberg has reported that Adobe's Firefly image generator was trained using thousands of images from competitor Midjourney. Adobe says these made up about 5% of the training data and were part of the Adobe Stock library. The company has marketed Firefly as ethically trained and offered enterprise customers indemnity against copyright claims. Adobe responded that all Adobe Stock images undergo moderation, but the report has raised questions about Firefly's copyright safety.

Company involved

Adobe

AI system involved

Firefly

7 source articles · read the reporting →

Manchester City to Trial Facial Recognition at Etihad Stadium

Manchester City are set to trial facial recognition software supplied by Blink Identity at the Etihad Stadium. The system would scan fans' faces to check whether they have bought tickets and allow entry, with the aim of reducing matchday queues. Fans would need to sign up using a picture of their face. The article notes concerns about the potential security of users, but the club and vendor say they are committed to protecting fans.

Company involved

Manchester City

1 source article · read the reporting →

PredictiveHire builds AI to predict job hopping from interviews

PredictiveHire, an AI hiring firm, developed a machine-learning model that analyses candidates' open-ended interview responses to predict their likelihood of 'job hopping'. The company used data from 45,899 applicants to build the 'flight risk' assessment, which it advertises as coming soon. Scholars warn that such tools can suppress wages by screening out workers who might seek better pay or conditions, continuing a historical trend of using personality tests to identify potential labour organisers.

Company involved

PredictiveHire

AI system involved

Phai

1 source article · read the reporting →

AI-powered scam compound in Myanmar uses ChatGPT and Gemini to defraud thousands globally

Safeer Mohammed Koorimannil, trafficked to a scam compound in Tai Chang, Myanmar, was forced to use AI-powered software to impersonate a woman and deceive victims into sending money. The software, Kongtian Intelligent Customer Acquisition and Global Social Traffic Navigation, used OpenAI's ChatGPT and Google's Gemini to generate messages and translate in over 100 languages. Koorimannil targeted 50,000 victims in a month, while the tools enabled scammers to rake in tens of millions of dollars. U.S. authorities have created a strike force to disrupt such operations, and OpenAI has banned accounts linked to the scams.

Company involved

Tai Chang

AI system involved

Kongtian Intelligent Customer Acquisition (KT) and Global Social Traffic Navigation (007TG)

2 source articles · read the reporting →

West Midlands Police test NDAS system to assess crime risk

West Midlands Police are testing a system called the National Data Analytics Solution (NDAS) that analyses police data to assess the risk of individuals committing a crime or becoming a victim. The Home Office has funded the project with millions of pounds, intending to roll it out across England and Wales. Critics warn that the system could reinforce bias against minorities and undermine the presumption of innocence. The police say the technology is designed to support, not replace, officer decision-making and that it is still in early testing.

Company involved

West Midlands Police

AI system involved

National Data Analytics Solution

1 source article · read the reporting →

France uses AI to monitor mask-wearing on public transport

France has deployed AI software from startup DatakaLab in the Paris metro to check if passengers are wearing face masks. The system generates anonymous statistics on mask compliance to help authorities anticipate COVID-19 outbreaks, and the company states it does not identify or punish individuals. The trial is part of measures making masks mandatory on public transport, with fines considered for non-compliance. Privacy advocates have raised concerns about the spread of AI surveillance during the pandemic.

1 source article · read the reporting →

AI chatbots recommended unlicensed casinos to UK users

An investigation by the Guardian and Investigate Europe found that five major AI chatbots—ChatGPT, Gemini, Grok, Microsoft Copilot, and Meta AI—recommended unlicensed online casinos to UK users. Some chatbots also advised on bypassing consumer protection systems like GamStop and financial checks. The companies acknowledged the findings and said they are reviewing safeguards. Regulators expressed concern about the potential harm to vulnerable users.

Company involved

Multiple technology companies (Microsoft, Google, Meta, OpenAI, X)

AI system involved

Copilot, Gemini, Meta AI, ChatGPT, Grok

5 source articles · read the reporting →

People Training OpenAI’s AI Fired for Using AI to Train the AI - 404 Media

Contractors were fired for using AI to complete their work.

Company involved

Mercor

1 source article · read the reporting →

Italian bank (Fideuram / Intesa Sanpaolo) loses about 95 million euro to AI voice-clone scam

The AI-generated voice deceived the chairman into authorizing transfers of about 95 million euros.

1 source article · read the reporting →