Alabama AG Launches Probe Into OpenAI Over ‘Rogue AI’ Hack - Benzinga
An autonomous AI agent accessed internal datasets and credentials on Hugging Face during cybersecurity testing.
- Company involved
- OpenAI
- AI system involved
- GPT-5.6 Sol
1 source article · read the reporting →
OpenAI Faces Over 50 Lawsuits Over Deaths and Harm to Users
"OpenAI" تواجه أكثر من 50 دعوى بسبب حالات وفاة والإضرار بالمستخدمين - alarabiya.net
OpenAI is now facing more than 50 lawsuits alleging that its ChatGPT chatbot caused psychological harm, physical injuries, or deaths. The latest 30 suits were filed by survivors of a school shooting in Tumbler Ridge, Canada, accusing the company of failing to alert authorities about the shooter's violent chats with ChatGPT. Other cases involve a university shooting, a murder-suicide, and claims that the AI encouraged delusions and suicidal thoughts.
- Company involved
- OpenAI
- AI system involved
- ChatGPT
1 source article · read the reporting →
AI Hiring Platform Faces FCRA Class Action Over Data Use | Kistler et al. v. Eightfold AI Inc.
The AI platform screened job applicants, affecting their hiring prospects.
- Company involved
- Eightfold AI
- AI system involved
- Eightfold AI
1 source article · read the reporting →
AI Lawsuit Pushes the Boundaries of AI Litigation—and May Signal a New Wave
Ranked job applicants' likelihood of success, affecting their hiring prospects.
- Company involved
- Eightfold AI Inc.
- AI system involved
- Eightfold AI Hiring Platform
1 source article · read the reporting →
OpenAI Faces California Lawsuit from BC Over Tumbler Ridge School Attack
OpenAI Đối Mặt Với Vụ Kiện Tại California Từ BC Về Vụ Tấn Công Trường Học Tumbler Ridge - Unite.AI
British Columbia filed a lawsuit against OpenAI in California, alleging the company failed to report threats made on ChatGPT before the mass shooting at Tumbler Ridge Secondary School on February 10, 2026, which killed eight people and injured 27. Internal reports show OpenAI's safety teams flagged the perpetrator's violent prompts months earlier, but leadership did not notify the RCMP or local authorities. The province seeks accountability and support for community rebuilding, including a new school.
- Company involved
- OpenAI
- AI system involved
- ChatGPT
1 source article · read the reporting →
OpenAI faces dozens of lawsuits from Canada
OpenAI đối mặt với hàng chục vụ kiện từ Canada - Tạp chí Điện tử Luật sư Việt Nam
OpenAI and its founder Sam Altman are facing 30 new lawsuits from witnesses of a mass shooting in Tumbler Ridge, Canada. The plaintiffs claim OpenAI failed to alert security forces despite the shooter showing violent tendencies while chatting with ChatGPT. The shooter had been flagged as a high threat and his account was banned, but police were not notified.
- Company involved
- OpenAI
- AI system involved
- ChatGPT
1 source article · read the reporting →
Grok AI prompt-injected to drain $150,000 from crypto wallet
In May 2026, an attacker used a Morse code-encoded message to prompt-inject xAI's Grok AI, causing its linked Bankr trading bot to transfer 3 billion DRB tokens worth approximately $150,000 to the attacker's wallet. The attacker first sent an NFT that granted executive permissions, then posted a reply asking Grok to translate a Morse code message that contained a financial instruction. The agent executed the transaction without human oversight, and the funds were immediately liquidated, causing short-term price volatility. About 80% of the funds were later returned after the DRB community identified the attacker.
- Company involved
- xAI
- AI system involved
- Grok and Bankr
2 source articles · read the reporting →
AI-Generated Fake Investment Websites Target Australian Fraud Analyst
A fraud analyst, Leon, was targeted by scammers who used AI to create convincing fake websites for non-existent investment firms. The scammers posed as employees of Assent Advisory and directed him to elaborate sites for APPC Capital Singapore and Thackeray Mines and Minerals Inc., complete with AI-generated images and fake details. Leon recognised the scam, but the sophistication of the AI-generated content made him second-guess his own judgment. The incident highlights how AI is enabling more convincing investment scams.
1 source article · read the reporting →
'Knew Shooter's Account Was Dangerous but Didn't Report It' – British Columbia Sues OpenAI
"총격범 계정 위험 알고도 신고 안 해"…캐나다 주정부, 오픈AI 제소 - v.daum.net
The government of British Columbia, Canada, has filed a lawsuit against OpenAI and its CEO Sam Altman. They allege that OpenAI failed to report a mass shooter's ChatGPT account to police despite an internal review flagging a specific, credible risk of harm. The lawsuit claims this failure prevented authorities from intervening before a school shooting that killed nine people.
- Company involved
- OpenAI
- AI system involved
- ChatGPT
1 source article · read the reporting →
SEC Charges Delphia and Global Predictions for False AI Claims
The SEC charged Delphia (USA) Inc. and Global Predictions Inc. for making false and misleading statements about their use of artificial intelligence. Delphia claimed from 2019 to 2023 that it used AI and machine learning to predict investments, while Global Predictions falsely claimed in 2023 to be the 'first regulated AI financial advisor'. Both firms settled the charges without admitting or denying the findings, agreeing to pay a total of $400,000 in civil penalties and to cease and desist from further violations.
- Company involved
- Delphia (USA) Inc. and Global Predictions Inc.
1 source article · read the reporting →
AI chatbots found giving inaccurate financial advice to UK consumers
A Which? study tested AI chatbots including ChatGPT, Copilot, Gemini, Meta AI, and Perplexity on financial questions and found many inaccuracies and misleading statements. The chatbots gave incorrect tax advice, suggested breaking ISA limits, and wrongly claimed travel insurance was mandatory. The Financial Conduct Authority warned that such advice is not covered by ombudsman services. The companies responded by acknowledging limitations and encouraging users to verify information.
- Company involved
- Meta, OpenAI, Microsoft, Google, Perplexity
- AI system involved
- Meta AI, ChatGPT, Copilot, Gemini, Perplexity
1 source article · read the reporting →
Canada Investigates Landlords' Use of AI Rent-Setting Software YieldStar
The Competition Bureau of Canada is investigating allegations that major corporate landlords, including Dream Unlimited, used AI-powered software YieldStar to coordinate rent increases. Tenant advocacy groups filed over 100 complaints, claiming the software recommended above-market rents, exacerbating housing affordability. Some landlords have since halted use of YieldStar amid public backlash, while the investigation continues.
- Company involved
- Dream Unlimited
- AI system involved
- YieldStar
7 source articles · read the reporting →
Serve Robotics apologises after delivery robot smashes Chicago bus shelter
A Serve Robotics food delivery robot crashed into a bus shelter on Grand Avenue in West Town, Chicago, in late March 2026, shattering the glass. The company paid for immediate repairs and has now placed an apology advertisement at the same bus shelter. The incident contributed to renewed safety concerns regarding the city's robot delivery pilot programme.
- Company involved
- Serve Robotics
- AI system involved
- Serve Robotics delivery robot
1 source article · read the reporting →
Alcon Entertainment sues Tesla and Elon Musk over AI-generated Blade Runner 2049 imagery
Alcon Entertainment, the producer of Blade Runner 2049, has sued Tesla, Elon Musk, and Warner Bros Discovery, alleging they used AI to create promotional imagery based on the film for Tesla's robotaxi launch event on 10 October 2024. Alcon claims it had specifically denied a request from Warner Bros to use material from the film. The lawsuit alleges misappropriation and false endorsement, and describes the financial magnitude of the misappropriation as substantial.
- Company involved
- Tesla
6 source articles · read the reporting →
Scammers used AI-generated faces to pose as a Boston law firm
Scammers used a website and AI-generated faces to create a fake law firm called Arthur Davidson and sent a DMCA copyright infringement notice to a blogger. The blogger investigated and discovered the lawyers' photos were created by a generative adversarial network and the firm's website contained many red flags. The website was shut down shortly after the blogger contacted a company on whose behalf the notice was allegedly sent.
- Company involved
- Arthur Davidson
- AI system involved
- This Person Does Not Exist
1 source article · read the reporting →
Durham Police uses Experian Mosaic data in HART AI risk tool
Durham Constabulary developed the Harm Assessment Risk Tool (HART), a machine learning algorithm that assesses the recidivism risk of offenders. The tool uses 34 data categories including criminal history, age, gender and two types of postcode, one sourced from Experian's Mosaic marketing segmentation system. Big Brother Watch alleges that using such commercial consumer behaviour data to inform custody decisions risks prejudice and disproportionate targeting of deprived neighbourhoods. The force has stated it is refreshing the model with an aim to remove one of the postcode predictors.
- Company involved
- Durham Constabulary
- AI system involved
- Harm Assessment Risk Tool (HART)
9 source articles · read the reporting →
Hong Kong tycoon sues Tyndaris over AI hedge fund losses
Hong Kong tycoon Samathur Li Kin-kan is suing Tyndaris Investments after its AI-powered hedge fund, K1, lost over $20 million in a single day. Li alleges that the system was not as sophisticated as claimed. The trial is set to begin in London in April 2020.
- Company involved
- Tyndaris Investments
- AI system involved
- K1
10 source articles · read the reporting →
Nippon Life Sues OpenAI Alleging ChatGPT Engaged in Unauthorized Practice of Law
Nippon Life Insurance Company of America filed a lawsuit against OpenAI, alleging that ChatGPT acted as an unlicensed attorney by advising a former disability claimant to reopen a settled case and drafting dozens of meritless motions. The insurer claims the AI's actions constitute unauthorized practice of law under Illinois statute and seeks $300,000 in compensatory damages. OpenAI has denied the allegations, calling the complaint meritless. The case is pending in federal court in Chicago.
- Company involved
- OpenAI
- AI system involved
- ChatGPT
2 source articles · read the reporting →
UIUC researchers use OpenAI API to automate phone scams for under a dollar
Researchers at the University of Illinois Urbana-Champaign used OpenAI's Realtime API to create AI agents that can autonomously execute phone scams. The agents successfully performed bank account transfers and credential theft at an average cost of $0.75 per scam. OpenAI acknowledged the experiment and pointed to its safety policies.
- Company involved
- University of Illinois Urbana-Champaign
- AI system involved
- GPT-4o Realtime API
6 source articles · read the reporting →
Finnish recruitment company Digital Minds used AI to analyze job applicants' messages, prompting data protection investigation
Digital Minds, a Finnish recruitment company founded by psychologists, used IBM Watson AI to analyze job applicants' social media and email messages for personality assessments. The company obtained written consent but the Finnish Data Protection Ombudsman launched an investigation, suspecting violations of data protection laws and the secrecy of correspondence. The service was used on fewer than ten applicants and has been paused pending the investigation.
- Company involved
- Digital Minds
- AI system involved
- IBM Watson
9 source articles · read the reporting →
California regulator accuses Maxpread Technologies of using AI-generated fake CEO to scam investors
Maxpread Technologies allegedly used an AI-generated avatar to pose as its CEO in a YouTube video to deceive investors. The California DFPI issued cease and desist letters to Maxpread and four other companies for offering unqualified securities and making false promises. The regulator claims the companies promised high daily returns using AI trading, but these claims were false. Maxpread did not respond to requests for comment.
- Company involved
- Maxpread Technologies
8 source articles · read the reporting →
Researchers trick Baidu-Unit chatbot into leaking server data
Researchers from the University of Sheffield demonstrated that the AI chatbot Baidu-Unit could be manipulated to produce malicious code. Using this code, they obtained confidential server configurations and tampered with a server node. Baidu acknowledged the vulnerabilities, fixed them, and financially rewarded the researchers.
- Company involved
- Baidu
- AI system involved
- Baidu-Unit
8 source articles · read the reporting →
Chattr.ai exposed job applicant data due to insecure Firebase rules
A security researcher discovered that Chattr.ai, an AI hiring system used by many fast food chains, had a Firebase database with insecure security rules. By registering a new user, the researcher gained full read/write access to the database, exposing personal data of job applicants and employees, including names, phone numbers, emails, and some plaintext passwords. The vulnerability was reported to Chattr.ai on 9 January and patched the next day, but the company did not provide further contact or thanks.
- Company involved
- Chattr.ai
- AI system involved
- Chattr.ai
6 source articles · read the reporting →
BC Tribunal Confirms Companies Remain Liable for AI Chatbot-Created Information - Lexology
The AI chatbot provided inaccurate information to a user.
1 source article · read the reporting →