Federal prosecutors in New York announced an indictment against three individuals accused of using artificial intelligence to impersonate corporate executives and lawyers to steal approximately $129 million. Jacob Soall, 41, Sharon Hazan, 54, and Guy Sheetrit, 42, are charged with wire fraud, aggravated identity theft, and money laundering.
The indictment, filed in the U.S. District Court for the Southern District of New York, alleges the scheme operated for more than 18 months and targeted thousands of companies globally. According to court documents, Hazan was previously convicted in 2008 in a New York court for conspiracy to commit bank fraud.
Investigators stated that the defendants targeted corporate accounting departments by sending emails appearing to be from a chief executive officer (CEO) regarding a confidential financial transaction. The group then allegedly used AI technology to mimic the voice and image of the CEO during phone or video calls. Victims were then directed to speak with a specific attorney at a major law firm, whom the group also allegedly impersonated using scripts to solicit wire transfers.
The stolen funds were allegedly sent to various international bank accounts and converted into cryptocurrency to obscure their origin. FBI Assistant Director in Charge James C. Barnacle Jr. stated that the case demonstrates how technology is being used for large-scale fraud. Lawyers for Soall and Sheetrit did not immediately respond to requests for comment, and it was not immediately clear if Hazan had legal representation.
For employees and business owners, this case highlights a shift in the methods used for business email compromise. A worker might no longer just look for a suspicious email but may now encounter AI-generated voices or video likenesses that appear to be their own supervisors or legal counsel. This affects how companies authorize large wire transfers and may lead to new internal verification protocols for financial transactions to prevent unauthorized transfers to international accounts.
The legal proceedings set a precedent for how federal law enforcement applies identity theft and fraud statutes to emerging artificial intelligence tools. The three defendants were arrested between June and September—Soall and Hazan in Spain and Sheetrit in the U.K. They currently face pending extradition requests to the United States. If convicted, the defendants face a maximum of 20 years in prison for the primary fraud charges and a maximum of two years for aggravated identity theft. Future court dates have not yet been announced.