U.S. Prosecutors Charge Three in AI Fraud Tied to More Than $129 Million

Three men face federal charges in Manhattan in a case where prosecutors allege artificial intelligence helped them impersonate corporate executives and lawyers, leading companies to lose more than $129 million.

An indictment unsealed Nov. 6 in the U.S. District Court for the Southern District of New York names Jacob Soall, Sharon Hazan and Guy Sheetrit. The charges include wire fraud, conspiracy to commit wire fraud, money laundering, conspiracy to commit money laundering and aggravated identity theft.

Prosecutors allege the operation ran from about July 2024 through February 2026 and targeted thousands of companies. They allege AI tools cloned executives’ and attorneys’ voices and images. A supposed executive would ask employees for help with a confidential transaction, followed by someone posing as a lawyer who sent wire instructions. The requests went to accounting workers authorized to approve transfers.

The indictment identifies a Missouri hospital system that lost about $4.83 million, a Florida pet-food company that lost about $5.24 million and a U.K. fintech firm that lost about $11.58 million. It also lists a Rhode Island bank, a California hospital and a Massachusetts mutual fund. Individual losses ranged from about $2 million to more than $11 million.

Prosecutors also allege some proceeds were converted to cryptocurrency during a laundering effort. The court filing does not name the assets or specify how much money moved through them.

Soall was arrested in Europe on June 17, Hazan on Aug. 5 and Sheetrit on Sept. 7. Extradition proceedings to bring the three men to the United States are underway. None has been convicted on the current charges.