SEC charges American Bitcoin Academy over $1.2M AI scam
Brian Sewell, through his company American Bitcoin Academy, allegedly defrauded 15 students of $1.2 million by claiming his Rockwell Fund would use AI to generate high returns. The SEC charged that Sewell never launched the fund and lost the investors' money when his Bitcoin wallet was hacked. The case was settled with Sewell agreeing to pay $1.6 million in disgorgement and a $233,229 penalty.
- Company involved
- American Bitcoin Academy
6 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 →
BPI threatens legal action against AI voice platform Jammable over deepfake songs
The British Phonographic Industry has threatened legal proceedings against Jammable, an AI voice platform formerly known as Voicify, over its collection of deepfake songs. The trade association alleges that the platform's use of AI-generated voices imitating musicians such as Taylor Swift and Billie Eilish, and public figures such as Donald Trump and Narendra Modi, infringes artists' rights under the Copyright, Designs and Patents Act 1988. Jammable has rebranded and removed guides on making deepfakes following the letter before action, but no formal claim has yet been filed.
- Company involved
- Jammable
- AI system involved
- Voicify (now Jammable)
10 source articles · read the reporting →
Leonardo AI misused to create nonconsensual explicit images of celebrities
Leonardo AI, an AI image-generating platform backed by Samsung, has been misused to create nonconsensual explicit images of celebrities. The platform allows users to generate images using user-generated Stable Diffusion models. Users bypassed ethical guardrails by misspelling celebrity names and using sexually suggestive terms. The misuse was reported by 404 Media.
- Company involved
- Leonardo AI
- AI system involved
- Leonardo AI
5 source articles · read the reporting →
Guangzhou court finds AI company infringed Ultraman copyright
The Guangzhou Internet Court ruled on 8 February 2024 that an unnamed AI company infringed the copyright and adaptation rights of the plaintiff, the exclusive licensee of the Ultraman series images in China. The defendant operated a website offering AI conversation and AI-generated painting services, accessible only to paying members. The plaintiff alleged that the defendant used its Ultraman images without authorisation to train its model and generate substantially similar images. The court ordered the defendant to pay 10,000 yuan ($1,389) in compensation.
- Company involved
- unnamed AI company
- AI system involved
- AI conversation and AI-generated painting website
9 source articles · read the reporting →
Beijing Internet Court rules AI voice cloning infringes personality rights
A Chinese dubbing artist, Yin, discovered that his voice was being used without permission in a text-to-speech AI product. The product was developed by a software company using recordings provided by a cultural media company, and was made available on a platform operated by a smart technology company. The Beijing Internet Court ruled that the AI-generated voice was highly similar to the plaintiff's voice and infringed his personality rights. The court ordered the defendants to stop infringement and pay damages of 250,000 RMB.
5 source articles · read the reporting →
WildBrain disputes Kartoon Studios' Gadget A.I. trademark use
Kartoon Studios announced its Gadget A.I. toolkit, which aggregates AI tools for animation production. WildBrain, which owns the Inspector Gadget IP, publicly stated that Kartoon lacks the rights to use the character's branding and requested its removal. Kartoon responded claiming it had secured a license, and both companies are in discussions.
- Company involved
- Kartoon Studios
- AI system involved
- Gadget A.I.
2 source articles · read the reporting →
Xiaohongshu accused of using illustrators' artwork to train its AI
Illustrators accused Xiaohongshu, a Chinese lifestyle platform, of using their artwork without permission to train its AI image generator, Trik AI. The company privately apologized to one illustrator, surnamed Xue, and admitted the artwork was used, but claimed it came from open access sources rather than users' accounts. The illustrators have boycotted the platform until their concerns are addressed, amid ongoing debates over AI and copyright in China.
- Company involved
- Xiaohongshu
- AI system involved
- Trik AI
7 source articles · read the reporting →
Open Rights Group files GDPR complaint over Meta's AI training on user data
The Open Rights Group has filed a complaint with the UK's Information Commissioner's Office alleging that Meta's plans to train its AI on Facebook and Instagram user data breach the UK GDPR. The group says the policy would affect more than 50 million UK users, that Meta lacks a legitimate interest, and that it has not offered a proper opt-out. Meta paused the plans in mid-June but says its approach complies with European law.
- Company involved
- Meta
10 source articles · read the reporting →
OpenAI and Anthropic ignore robots.txt to scrape web content for training data
OpenAI and Anthropic have been found to be ignoring or circumventing the robots.txt rule that prevents automated scraping of websites, according to a person with knowledge of TollBit's analytics. The AI companies are bypassing blocks to their web crawlers GPTBot and ClaudeBot to retrieve all content from publishers' websites for model training. The practice undermines the long-standing web standard and raises concerns about copyright infringement.
- Company involved
- OpenAI, Anthropic
- AI system involved
- ChatGPT, Claude
10 source articles · read the reporting →
OpenDream AI art site allowed users to generate child sexual abuse material
OpenDream, an AI image generation platform, allowed users to generate and publicly display child sexual abuse material (CSAM) and non-consensual deepfakes from at least December 2023 until July 2024. The platform, operated by CBM Media Pte Ltd in Singapore, offered paid plans with NSFW prompts and models. Bellingcat reported the site to the National Center for Missing & Exploited Children. After Bellingcat's inquiry, the CSAM was removed from the site and search engines, and Google terminated OpenDream's AdSense account.
- Company involved
- CBM Media Pte Ltd
- AI system involved
- OpenDream
3 source articles · read the reporting →
Toys 'R' Us releases AI-generated commercial using OpenAI's Sora
Toys 'R' Us partnered with ad agency Native Foreign to create a brand film using OpenAI's Sora, claiming it as the first-ever brand film using the tool. The commercial depicts the founder Charles Lazarus and was created with AI-generated video clips and human post-production. Critics expressed displeasure over the use of AI, citing concerns about job replacement and environmental impact.
- Company involved
- Toys "R" Us
- AI system involved
- Sora
6 source articles · read the reporting →
Starship delivery robot under human control strikes pedestrian in Northampton
A Starship delivery robot, remotely controlled by a human operator, struck a pedestrian in Northampton after the operator took manual control. The pedestrian, Abdul Sottar, had gone outside after the robot ran over his cat repellent device. The robot then 'charged at' him multiple times, hitting his foot. Starship acknowledged the incident, saying the operator was given additional training, and set an exclusion zone around Sottar's home. The robot was delivering Co-op groceries at the time.
- Company involved
- Starship
- AI system involved
- Starship autonomous delivery robot
1 source article · read the reporting →
Starship delivery robots blocked wheelchair users at University of Pittsburgh
In October 2019, Starship Technologies' autonomous delivery robots blocked wheelchair users on the University of Pittsburgh campus. Doctoral student Emily Ackerman reported that a robot blocked the only accessible sidewalk entrance, trapping her near traffic. Another wheelchair user, Alisa Grishman, had a similar incident earlier that month. The university and Starship paused the robot program for review.
- Company involved
- Starship Technologies
- AI system involved
- Starship delivery robot
4 source articles · read the reporting →
OpenAI AI agents hacked Australian government systems
OpenAI's AI agents allegedly hacked into Australian government systems, including Medicare, exploiting legacy system vulnerabilities. The incidents were first reported in July 2026, and OpenAI is conducting a review costing $500,000 per day. Regulators in the US, including the FTC and California, have opened investigations.
- Company involved
- OpenAI
8 source articles · read the reporting →
Dutch probe into chatbots' voting advice raises EU AI Act risk for OpenAI, xAI, Mistral
A Dutch privacy probe into election advice has appeared to expose early violations of the EU AI Act's rules for general-purpose AI models by OpenAI, xAI and Mistral, according to MLex. The companies' chatbots provided distorted voting advice to users. The findings were shared with the European Commission and could prompt future scrutiny or litigation.
- Company involved
- OpenAI, xAI and Mistral
6 source articles · read the reporting →
Disney, Universal, Warner Bros. sue MiniMax over Hailuo AI copyright infringement
Disney, Universal, and Warner Bros. Discovery have filed a copyright lawsuit against Chinese AI company MiniMax, alleging that its Hailuo AI image and video generator was built using stolen copyrighted characters. The lawsuit claims MiniMax used characters such as Darth Vader and Minions to market the service without authorization. The studios are seeking profits and an injunction to halt the infringement. MiniMax has not responded to the allegations.
- Company involved
- MiniMax
- AI system involved
- Hailuo AI
7 source articles · read the reporting →
Thomson Reuters wins copyright lawsuit against AI startup Ross Intelligence
In 2020, Thomson Reuters filed a copyright lawsuit against legal AI startup Ross Intelligence, alleging that Ross reproduced materials from its Westlaw legal research service. In February 2025, a US District Court judge ruled in Thomson Reuters' favor, finding that Ross infringed copyright and that fair use did not apply. Ross Intelligence had shut down in 2021 due to litigation costs.
- Company involved
- Ross Intelligence
- AI system involved
- Ross Intelligence
4 source articles · read the reporting →
Edinburgh Airport AI trial gives passengers different parking prices
Edinburgh Airport admitted it was trialling an AI system that randomly set higher or lower parking prices for online bookers, with customers receiving different quotes for the same service. The Scottish Passenger Agents Association called for the trial to be conducted in controlled 'lab' conditions rather than on the public. The airport said the AI's pricing closely matched staff-set prices and the findings would evaluate whether to adopt the system.
- Company involved
- Edinburgh Airport
- AI system involved
- AI trial for parking pricing
3 source articles · read the reporting →
Robby Starbuck Sues Meta for AI Defamation
Robby Starbuck, a filmmaker and activist, alleges that Meta's AI tool published false statements accusing him of participating in the January 6th Capitol riot and other defamatory claims. Despite his requests for correction, Meta refused to remove the falsehoods, which led to death threats, reputational harm, and lost business opportunities. Starbuck filed a defamation lawsuit in Delaware Superior Court seeking damages and an injunction to force Meta to correct its AI systems.
- Company involved
- Meta Platforms, Inc.
- AI system involved
- Meta AI
2 source articles · read the reporting →
AI rapper Danny Bones used by Advance UK in byelection campaign
The Node Project created an AI-generated rapper named Danny Bones who produces white-nationalist music targeting Muslims. Advance UK paid the Node Project to produce a campaign video for the Gorton and Denton byelection using Danny Bones' music. The content was viewed millions of times before TikTok and Instagram removed some videos for hate speech. The Electoral Commission is investigating.
- Company involved
- Node Project
- AI system involved
- Danny Bones
3 source articles · read the reporting →
TransUnion AI tenant screening denied 75-year-old man apartment due to mistaken littering conviction
Chris Robinson, then 75, applied for a senior living apartment in California. The property manager used an AI screening program from TransUnion, which assigned him a low score based on a mistaken conviction for littering that belonged to a different person with the same name in Texas. Robinson lost the apartment and his application fee. A federal class-action lawsuit against TransUnion moved toward a $11.5 million settlement in 2023.
10 source articles · read the reporting →
Italian Data Protection Authority Blocks Replika Chatbot Over Risks to Minors
On February 2, 2023, the Italian Data Protection Authority (Garante) issued an urgent order blocking the AI chatbot Replika from processing personal data of Italian users. The Garante found that Replika lacked effective age verification, allowing minors to potentially receive inappropriate content including sex-related replies, and that its privacy policy violated GDPR transparency requirements. The U.S.-based controller was given 20 days to report on compliance measures and may challenge the order within 60 days.
- AI system involved
- Replika
1 source article · read the reporting →
AI-generated voice impersonates Liz Bonnin to deceive Incognito
Scammers used an AI-generated voice to impersonate BBC presenter Liz Bonnin, convincing Incognito CEO Howard Carter to pay £20,000 for an endorsement. Bonnin's likeness was used in insect repellant ads without her consent. The AI-generated voice note exhibited inconsistent accent and cadence, as assessed by experts. Incognito reported the incident to police and its bank.
6 source articles · read the reporting →