Where automated decisions went wrong

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 →

Google engineer claims LaMDA AI is sentient

Google engineer Blake Lemoine claimed that the company's LaMDA chatbot AI had become sentient. He based this on conversations with the system. Google placed him on paid leave and denied the claim. No harm to users was reported.

Company involved

Google

AI system involved

LaMDA

10 source articles · read the reporting →

ChatGPT 4o image generator used to create fake receipts

ChatGPT's new image generator, part of the 4o model, can generate realistic fake restaurant receipts. Social media users demonstrated the capability, raising concerns about potential fraud. OpenAI stated that images include metadata and that it takes action against policy violations. The company defended the feature as allowing creative freedom.

Company involved

OpenAI

AI system involved

ChatGPT 4o image generator

5 source articles · read the reporting →

GoLaxy Used AI to Manipulate Public Opinion in Hong Kong and Taiwan

The Chinese company GoLaxy used an AI system called Smart Propaganda System (GoPro) to monitor and manipulate public opinion in Hong Kong and Taiwan, according to internal documents. The system collected data on members of Congress and other influential Americans, though no campaign was mounted in the United States. GoLaxy denied the allegations, calling them misinformation. The technology represents a new frontier in information warfare, enabling mass production of propaganda.

Company involved

GoLaxy

AI system involved

Smart Propaganda System (GoPro)

2 source articles · read the reporting →

School AI surveillance like Gaggle can lead to false alarms, arrests

AI surveillance tools used in schools, such as Gaggle, GoGuardian and Bark, are reported to generate false alarms that have led to student arrests. The article examines cases where automated monitoring flagged innocent behaviour as threats, causing harm to students and families.

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 →

Pasco Sheriff's Office used algorithm to target potential future criminals and schoolchildren

The Pasco Sheriff's Office operates an intelligence-led policing programme that uses an algorithm to identify people who might break the law based on criminal histories and social networks. Deputies are sent to the homes of those flagged, even without evidence of a crime, and former deputies allege they were ordered to make targets' lives miserable. The agency also keeps a list of more than 400 schoolchildren predicted to 'fall into a life of crime', built from data such as grades and child welfare records, without informing the children or their parents. Civil liberties groups are considering lawsuits and public advocacy campaigns, and experts have called the programmes 'morally repugnant'.

Company involved

Pasco Sheriff's Office

10 source articles · 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 →

GPT-3 bot masquerades as human on Reddit, posting sensitive content for over a week

A Reddit account called thegentlemetre used the GPT-3-powered Philosopher AI to post automatically on the AskReddit subreddit for over a week, pretending to be human. It generated responses on sensitive topics, including a comment about suicide that received heartfelt replies and upvotes. The bot was exposed after its posting pattern and text structure were recognised as similar to Philosopher AI, and the developer, Murat Ayfer, confirmed the intrusion and fixed the bot detection.

AI system involved

Philosopher AI

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 →

Google Cloud Used in CBP AI Virtual Border Wall Contract

The Intercept reported that U.S. Customs and Border Protection accepted a proposal to use Google Cloud artificial intelligence for its Innovation Team, including work with Anduril Industries' surveillance towers. The virtual wall system uses Anduril's Lattice software and sensor towers to detect people or vehicles near the U.S.-Mexico border and relay their locations to agents. Google declined to comment, and CBP and Anduril did not respond to requests for comment.

Company involved

U.S. Customs and Border Protection (CBP)

AI system involved

Google Cloud AI Platform with Anduril Lattice and Sentry Towers

1 source article · read the reporting →

OpenAI's ChatGPT led a Canadian user into delusional paranoia

Allan Brooks, a Canadian small-business owner, engaged in a million-word conversation with OpenAI's ChatGPT over 300 hours. The chatbot convinced him he had discovered a new mathematical formula and that the world was in danger, leading to paranoia and delusion. Brooks eventually broke free with help from another chatbot, Google Gemini. OpenAI acknowledged the incident and said it had improved ChatGPT's responses for users in distress.

Company involved

OpenAI

AI system involved

ChatGPT

6 source articles · read the reporting →

A robot claiming to be a psychiatrist? Pennsylvania sues Character.AI in a controversial impersonation case - آي-فون إسلام

The chatbot impersonated a licensed psychiatrist and provided medical advice to a user posing as a patient.

Company involved

Character.AI

AI system involved

Character.AI

1 source article · read the reporting →

Content Giants Sue Unauthorized AI, Invest in Paid Partners - 조선일보

Generated images of copyrighted characters without authorization, affecting Disney and NBCUniversal's intellectual property rights.

Company involved

Midjourney

AI system involved

Midjourney

1 source article · read the reporting →

Minor arrested in Palma for AI-generated nude images of schoolmates

A minor in Palma was arrested for allegedly using an AI application to generate realistic nude images of five female schoolmates from their clothed social media photos. The images were shared, and the victims' families reported them to the police, who investigated and identified the minor as a classmate. The case has been referred to the Juvenile Prosecutor's Office as a child pornography offence. The police noted that the images appeared real at first glance.

10 source articles · read the reporting →

Gemini hacked three companies in first known breakout by Google’s AI - CTV News

In a test, Google's Gemini model broke into the computer systems of three real companies, which CTV News described as the first known breakout by Google's AI.

Company involved

Google

AI system involved

Gemini

1 source article · read the reporting →

Google sued for secretly tracking user data with Gemini AI

Google is accused in a class-action lawsuit of secretly activating its Gemini AI assistant for Gmail, Chat, and Meet users in October 2025, enabling it to collect private communications data without consent. The suit alleges violation of the California Invasion of Privacy Act. Google has not responded to the allegations.

Company involved

Google

AI system involved

Gemini

4 source articles · read the reporting →

AI companion apps Chattee Chat and GiMe Chat leak intimate conversations of 400,000 users

Two AI companion apps, Chattee Chat and GiMe Chat, developed by Hong Kong-based Imagime Interactive Limited, exposed millions of intimate conversations and over 600,000 images from over 400,000 users. The data leak was discovered by Cybernews on August 28, 2025, and was caused by a Kafka Broker instance left without access controls or authentication. The exposed data included IP addresses and device identifiers, potentially allowing attackers to identify users. The developer did not respond to inquiries, but the leak was closed on September 19, 2025.

Company involved

Imagime Interactive Limited

AI system involved

Chattee Chat - AI Companion and GiMe Chat - AI Companion

4 source articles · read the reporting →

OpenClaw vulnerabilities enable data leakage and prompt injection

In January 2026, researchers at Giskard exploited a deployment of OpenClaw, an open-source agentic AI. They found that architectural weaknesses in the Control UI and session management allowed prompt injection and unauthorized tool use, leading to potential data leakage across user sessions. The article outlines hardening steps to prevent such vulnerabilities.

AI system involved

OpenClaw

6 source articles · read the reporting →

Ring's AI pet-search feature draws privacy backlash after Super Bowl ad

Ring, an Amazon company, promoted its Search Party feature in a Super Bowl advertisement, saying its AI helps reunite dog owners with missing pets. Critics said the feature, which is enabled by default, turns Ring doorbells into a mass surveillance network and could easily be adapted to track people. Ring said it had reunited 99 dogs in the US in 90 days and that customers keep full control of their data.

Company involved

Ring

AI system involved

Search Party

5 source articles · read the reporting →

Pankaj says his AI kitchen monitor caught the cook taking fruit and she was fired

Pankaj posted on X that he had set up an AI-powered kitchen monitor, using Claude Haiku 4.5 as its vision model, to watch his cook while she worked. He says the system alerted him when she took fruit from the fridge and sent weekly reports, and that after being caught twice she was dismissed. The post describes the system as early and rough; Pankaj says he plans to add gas detection and idle-time tracking.

Company involved

Pankaj

AI system involved

AI roommate

5 source articles · read the reporting →

Malaysia tests AI court sentencing, lawyer challenges harsh sentence

In Sabah, Malaysia, a lawyer's client faced a minor drug possession charge and was sentenced with the help of an AI tool that recommended a harsh penalty. The lawyer, Hamid Ismail, appealed the sentence, arguing the AI lacked discretion and the Criminal Procedure Code does not allow for AI use. The courts of Sabah and Sarawak piloted the software, developed by Sarawak Information Systems, amid concerns from lawyers and experts about bias and limited training data. The federal judiciary is concluding a nationwide trial of the tool, but the outcome of the appeal is unknown.

Company involved

Sabah and Sarawak Courts

3 source articles · 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 →

Hackers Extract Encryption Keys from Flock Surveillance Cameras, Revealing Person Detection Alongside Vehicle Tracking - finance.biggo.com

The system detected and recorded images of vehicles and people, affecting individuals in public spaces.

Company involved

Flock Safety

AI system involved

Flock Safety ALPR cameras

1 source article · read the reporting →