Feds, SEC charge app maker with fraud, saying ‘AI’ service was Philippine workers

Albert Saniger faces charges for securities and wire fraud as his Nate app was marketed as AI-driven but relied instead on human workers. This deception attracted over 40 million USD from investors who were misled into believing in the app’s advanced AI capabilities.

The Justice Department criticized the fraud for harming investors and obstructing genuine AI advancements. If convicted, Saniger could face significant jail time, with the SEC also seeking a ban on him from future company roles and the return of investor funds.