Tech founder charged with fraud in connection with ‘AI’ that secretly was overseas contract workers
US Department of Justice
Albert Sangier was indicted for misleading investors about his Nate platform of financial technology. Sangier founded Nate in 2018. The company claimed that artificial intelligence would allow shoppers to use a universal checkout application. TheIndictment claims that the so-called AI transactions in Nate are actually being completed by human contractors or bots in the Philippines and Romania. Sangier raised over $40 million in investment for the app.
The Information reported on Nate in 2022, revealing that he used human labor instead of AI. Sources told the publication in 2021 that “the share of transactions Nate handled manually rather than automatically ranged between 60 percent and 100 percent.”
many ambitious and ethically challenged businessmen tried to make their fortunesby disguising the human actions of the past as a technological or mechanical innovation. The digital age is the latest application of this idea.
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