By Adrianne Appel2024-03-18T19:48:00
Two investment advisers agreed to pay a total of $400,000 to settle charges by the Securities and Exchange Commission (SEC) the firms each engaged in artificial intelligence (AI) misrepresentations that misled clients about how they were using the technology.
Delphia USA and Global Predictions were fined $225,000 and $175,000, respectively, the SEC announced in a press release Monday. The firms each agreed to a censure and to cease and desist from further violations in reaching settlement.
The penalties follow months of warnings by senior leaders at the SEC regarding the concept of “AI washing,” which includes firms marketing applications of the technology in ways they aren’t using it.
2024-10-11T13:44:00Z By Jeff Dale
The Securities and Exchange Commission ordered the owner of Rimar Capital and a board member of its holding company to pay nearly $524,000 in penalties for defrauding investors with false and misleading statements about its use of artificial intelligence.
2024-06-12T22:14:00Z By Adrianne Appel
The former chief executive officer of closed AI recruitment startup Joonko faces up to 40 years in prison and the potential of penalties levied by the Securities and Exchange Commission for allegedly defrauding investors of more than $27 million.
2024-04-18T21:01:00Z By Aaron Nicodemus
Examiners with the Securities and Exchange Commission found investment advisory firms have generally done well creating processes to comply with the agency’s amended marketing rule but some have fallen short in ensuring compliance.
2025-10-08T18:28:00Z By Adrianne Appel
Charlie Javice, a former CEO who duped JPMorgan Chase into purchasing her start up company for $175 million, has been ordered to forfeit more than $22 million by the Department of Justice (DOJ) and to spend 7 years in jail.
2025-10-07T16:08:00Z By Adrianne Appel
Georgia Tech Research Corp. (GTRC) has agreed to pay $875,000 to settle allegations first raised by two compliance officers that its cybersecurity protocols violated acceptable standards for defense contractors, the Department of Justice (DOJ) said.
2025-10-06T17:12:00Z By Adrianne Appel
Tractor Supply Company has agreed to get into compliance with California’s consumer privacy law and to pay a $1.35 million fine—the largest yet by California—to settle allegations it violated the privacy rights of customers and job applicants.
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