Three charged in $129 million AI impersonation scheme

Three people were indicted on wire fraud, aggravated identity theft and money laundering charges over an AI impersonation scheme that stole about $129 million, SecurityWeek reports. Prosecutors said Jacob Soall, Sharon Hazan and Guy Sheetrit targeted thousands of companies worldwide over more than 18 months. Victims included hospital systems in Missouri and California and a bank in Rhode Island, the Associated Press reported.

The defendants allegedly emailed accounting departments while posing as chief executives and requesting help with confidential transactions. They then arranged phone or video calls that used AI to mimic an executive's voice and, in some cases, image. Employees were directed to communicate with an attorney who was also impersonated and instructed to send money to bank accounts around the world.

Prosecutors said the funds were converted into cryptocurrency before being distributed among the defendants and others. The three were arrested between June and September, and the case was filed in a federal court in New York. The FBI investigated the alleged scheme.