When The FTC Says "AI" Stands For "Allegedly Inaccurate"

The Federal Trade Commission recently sued Automators AI, alleging that the company made a number of false claims in connection with the marketing of business opportunities and coaching services, including claims that the company uses artificial intelligence to help investors earn money. In connection with the filing of the lawsuit, a federal court in California granted the FTC a temporary restraining order, which includes, among other things, an asset freeze.

In announcing the action, Samuel Levine, the Director of the FTC's Bureau of Consumer Protection, said, "The defendants preyed on consumers looking to provide for their families with promises of high returns and the use of AI to power such returns."