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 →
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 →
Tennessee's TennCare Connect algorithm illegally denied thousands Medicaid benefits
A U.S. District Court judge ruled that Tennessee's TennCare Connect system, built by Deloitte for over $400 million, illegally denied thousands of low-income residents and people with disabilities Medicaid and disability benefits due to programming and data errors. The system automatically terminated coverage without properly considering eligibility for all available programs. A class action lawsuit filed in 2020 resulted in the ruling.
- Company involved
- TennCare (Tennessee Medicaid)
- AI system involved
- TennCare Connect
10 source articles · read the reporting →
Deloitte software glitches wrongly remove Texans from Medicaid
Advocacy groups filed a complaint with the Federal Trade Commission alleging that Deloitte's eligibility software, TIERS, used by Texas Medicaid, wrongly disenrolled qualified recipients due to glitches. Nearly 1.8 million Texans lost coverage after the pandemic pause ended, with many errors attributed to procedural issues but some linked to system malfunctions. Deloitte denies the claims, while the state says it restored care for at least 90,000 people. The FTC has not yet responded to the complaint.
- Company involved
- Texas Health and Human Services Commission
- AI system involved
- TIERS
6 source articles · read the reporting →
Dutch probation service's OXREC algorithm flawed, leading to incorrect recidivism risk assessments
The Dutch Inspectorate of Justice and Security (Inspectie JenV) published a report finding that the probation service's (Reclassering) OXREC algorithm contains serious flaws, including swapped formulas and incorrect numbers, causing about a quarter of risk assessments to be wrong. The algorithm, used since 2018 for about 44,000 cases per year, also uses variables that can lead to discrimination, such as neighborhood score and income. The Inspectorate recommended immediate correction or temporary suspension. The probation service announced it would temporarily stop using OXREC.
- Company involved
- Reclassering Nederland
- AI system involved
- OXREC
4 source articles · read the reporting →
ChatGPT Health fails to direct 52% of medical emergencies to emergency care in study
A study published in Nature Medicine found that OpenAI's ChatGPT Health tool under-triaged 52% of true medical emergencies, directing users to non-urgent care instead of emergency departments. The AI also misclassified 35% of non-urgent cases. Researchers at Mount Sinai conducted 960 tests across 60 clinical scenarios, noting the tool's susceptibility to anchoring bias when symptoms were minimized. The study highlights potential safety concerns as millions use AI for health guidance.
- Company involved
- OpenAI
- AI system involved
- ChatGPT Health
4 source articles · read the reporting →
Pega's Hidden AI Tool Listens To US Bank Calls, Suit Says - Law360
The system secretly recorded customer service calls, affecting bank customers.
- Company involved
- U.S. Bancorp
1 source article · read the reporting →
New Records Show Medicare WISeR AI Prior Authorization Model Causing Inappropriate Denials of Care - Medicare Rights Center
The system denied or delayed prior authorization for medical procedures, affecting Medicare beneficiaries in six states.
- Company involved
- Centers for Medicare & Medicaid Services
- AI system involved
- WISeR
1 source article · read the reporting →
Florida Grandmother Loses $200,000 to AI Deepfake Doctor Scam
An 82-year-old retired teacher from Ponte Vedra Beach, Florida, lost nearly $200,000 in retirement savings after scammers used an AI-generated deepfake video impersonating Dr. Pierre Kory to promote a fake investment fund. The victim, who cares for her autistic grandson, was convinced to send money via Facebook Messenger and checks. Police later confirmed the money was unrecoverable, leaving her facing financial hardship. The incident is part of a surge in AI-enabled crypto scams, which stole $17 billion in 2025.
2 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 →
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 →
Scammers use AI deepfakes to defraud Simcoe County residents of tens of thousands
Scammers are using AI-generated deepfake videos of public figures to promote fraudulent investment schemes, tricking residents of Simcoe County, Ontario, into transferring large sums of money via cryptocurrency. Victims, numbering at least half a dozen, have lost tens of thousands of dollars, with one losing over $100,000. The scammers, who pose as investment representatives, instruct victims to move money to crypto exchanges and then transfer it to untraceable addresses. MP Adam Chambers is calling for greater public awareness and platform accountability.
2 source articles · read the reporting →
Security Health Plan used AI to cut off nursing home care for 85-year-old woman
Frances Walter, an 85-year-old woman with a shattered shoulder, had her nursing home care payment cut off by Security Health Plan after an algorithm predicted she would recover in 16.6 days. The algorithm, nH Predict from NaviHealth, did not account for her severe pain and allergy to pain medicine. She was forced to spend her life savings and enroll in Medicaid while fighting the denial. A federal judge later ruled the denial was speculative and she was owed thousands of dollars.
- Company involved
- Security Health Plan
- AI system involved
- nH Predict
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 →
Senators demand review of VA's AI-driven contract cancellations
The Department of Veterans Affairs used an AI tool created by a Department of Government Efficiency employee to identify hundreds of contracts for cancellation. Senators Richard Blumenthal and Angus King have called for the VA Inspector General to investigate the use of AI in these decisions, alleging that the tool used flawed formulas and that the cancellations are harming veterans by cutting services. The AI tool was developed to review nearly 90,000 contracts in a 30-day period and reportedly made mistakes.
- Company involved
- Department of Veterans Affairs
8 source articles · read the reporting →
SEC charges YouPlus and CEO with defrauding investors
The SEC charged machine-learning startup YouPlus and its CEO Shaukat Shamim with defrauding investors. Shamim allegedly made false statements about the company's revenue and customer numbers, including providing falsified bank statements. The scheme unravelled when Shamim confessed to investors that the company had earned less than $500,000 and had only four paying customers since 2013. The SEC is seeking permanent injunctions, civil penalties, and an officer-and-director bar.
- Company involved
- YouPlus
- AI system involved
- YouPlus machine-learning tool
1 source article · read the reporting →
Researchers find bias in chest X-ray AI classifiers against women, Hispanic and Medicaid patients
A study by the University of Toronto, Vector Institute, and MIT found that AI classifiers trained on public chest X-ray datasets exhibited racial, gender, and socioeconomic bias. Female patients, Hispanic patients, and those with Medicaid insurance were disproportionately affected, with the classifiers often providing incorrect diagnoses for Medicaid patients. The researchers attributed the bias to imbalanced training data and called for rigorous fairness analyses before clinical deployment.
2 source articles · read the reporting →
NHS faces legal action over Palantir data contract extension
The NHS is being taken to court by campaign group Open Democracy over its contract with data firm Palantir. The legal action alleges that the extension of Palantir's involvement in analysing NHS patient data for pandemic response and beyond lacked a proper Data Protection Impact Assessment. The contract, initially an emergency response, was extended for two years at a cost of £23.5m. The case is pending.
- Company involved
- NHS
- AI system involved
- Palantir data analysis platform
10 source articles · read the reporting →
Kmart's facial recognition system for refund fraud found unlawful by Privacy Commissioner
Kmart Australia deployed facial recognition technology in 28 stores from June 2020 to July 2022, capturing biometric data of every customer entering the stores and those at returns counters to detect refund fraud. The system collected sensitive information without notifying customers or obtaining their consent. The Australian Privacy Commissioner found that Kmart breached the Privacy Act, as the exemption for unlawful activity did not justify the indiscriminate and disproportionate collection of biometric data from thousands of individuals. Kmart has ceased using the system and cooperated with the investigation.
- Company involved
- Kmart Australia Limited
7 source articles · read the reporting →
Bank of America Customer Targeted by AI Voice Deepfake Scam
Clive Kabatznik, a Florida investor, was targeted by scammers who used AI-generated voice deepfakes to impersonate him in calls to his Bank of America representative. The fraudsters attempted to trick the banker into transferring money, but the banker became suspicious and hung up. The bank reported the incident to its security team, and it took about 10 days for Mr. Kabatznik to re-establish contact with his banker. The incident highlights the growing threat of voice deepfakes in financial scams.
- Company involved
- Bank of America
2 source articles · read the reporting →
Perplexity AI Misdiagnosis Leads to Man's Death After He Avoids Cancer Treatment
Benjamin Riley's father, a former neuroscientist, used Perplexity AI to self-diagnose his chronic lymphocytic leukemia and was incorrectly told he had Richter's Transformation, leading him to refuse his oncologist's recommended Ven-Obi treatment for a year. Despite his son's efforts to correct the misinformation by contacting the study authors, the father's condition worsened, and he eventually started treatment but died weeks later. The incident highlights the dangers of relying on AI for medical advice.
- Company involved
- Perplexity AI
- AI system involved
- Perplexity AI
1 source article · read the reporting →
Instacart used AI to charge different customers different prices for same items
Instacart, a grocery delivery company, was found to have used AI pricing algorithms to charge some customers up to 23% more than others for identical products at the same location. Research by Groundwork Collaborative, Consumer Reports, and More Perfect Union, based on data from 437 shoppers, revealed price fluctuations averaging 7%. Instacart acquired the AI firm Eversight in 2022 and began experimenting with dynamic pricing. The company stated that the tests have ended.
- Company involved
- Instacart
6 source articles · read the reporting →
Imperial College AI stethoscope falsely identified heart failure in two-thirds of flagged patients
Researchers at Imperial College London and Imperial College Healthcare NHS Trust have developed an AI-powered stethoscope that analyses heart rhythms and performs an ECG, sending results to a doctor's smartphone. A study of more than 12,000 patients across the UK found that two-thirds of patients flagged as having heart failure did not actually have the condition. The researchers acknowledged that the false positives could cause unnecessary anxiety, and many GP surgeries stopped using or barely used the device after 12 months. The team plans to deploy the stethoscope more widely.
- Company involved
- Imperial College London and Imperial College Healthcare NHS Trust
6 source articles · read the reporting →
