YouTuber uses AI to pose as tax specialist

Artificial Intelligence (AI) has been heralded by many as a huge boon to humankind by offering significant benefits, primarily through automation of repetitive tasks, enhanced efficiency and superior data analysis.

It is claimed that AI leads to reduced human error, better decision-making, and cost savings across a variety of industries, such as finance and banking. It is meant to augment human skills and help to drive improved productivity and growth. Unfortunately, it comes with a health warning as it can also be used to provide misleading or, in some cases, completely false information and is increasingly being used as a tool by scammers, as tax expert Dan Neidle found to his cost recently.

Deepfake Danger

This week came the news that news that an AI impersonator has stolen the identity of Dan Neidle, the highly respected founder of Tax Policy Associates, to create tax advice videos on YouTube. This rogue content creator set up a new channel on YouTube and promoted several AI generated videos that impersonated Dan Neidle.

Not only was the advice in these videos inaccurate, it was also downright dangerous as anyone who followed the recommendations given in the videos to complete a tax return are likely to have underpaid tax and left themselves open to heavy penalties from HMRC.

Dan Neidle said: ‘It’s a very weird experience. I doubt this is going to seriously harm anyone; but there’s obvious potential for fraud here – so it’s odd that YouTube make it so hard to report AI impersonation.’ He went on to urge people to report the YouTube channel which is using AI to impersonate him by selecting a particular video on YouTube and clicking on the three dots on the right-hand side and selecting ‘Report’.

YouTube could do more

Regrettably YouTube does not have an option on the report function to state that the video is an ‘AI impersonation’. There are various choices, such as defamation and hateful or abusive content, but nothing AI related. Also, regrettably the legal option is only available for use by the victim of the abuse.

Dan Neidle was not the only target of this fake company based in Eastern Europe; it has also posted videos on Canadian tax, presented by an AI generated Rami Sethi, the finance expert and presenter of How to Get Rich on Netflix, and Mark J Kohler, a US based small business tax lawyer, author and national speaker.

YouTube Martin Lewis AI fake

Martin Lewis of Moneysavingexpert.com fame, said he was left feeling “sick” by a recent online scam video shows a realistic computer-generated likeness of his face and voice. The widely-circulated ad, encourages people to sign up for what is claimed to be an Elon Musk-backed project, calling it “legit” and a “great investment”, and attempts to solicit money for the fake investment scheme, using AI deepfake technology.

Speaking to BBC Radio 4’s Today programme, Lewis said: “My name and face have been the subject of scam adverts for many years, I get countless reports every day. “This is the first deepfake I’ve seen with me in it and it’s already difficult enough to persuade people about scams”. “I’ve had friends of mine get in touch with me recently saying ‘hey, I’ve just put some money in that investment scheme you’ve been advertising’. “But I don’t advertise and I don’t do investments.”

Fake online banks

Also in the news is serial fraudster, Barbarat Giuseppe, who claims to have run most of the world’s largest banks, including JPMorgan, Goldman Sachs et al, which is simply not true. Giuseppe has set up a string of fake banks on Companies House – with real bank names, but subject to no checks, facilitated by a legitimate incorporation agent who has set up the fake banks for him.

Mr Giuseppe uses AI generated online advice forums to encourage individuals and firms to use one of his fake banks and when they do, their money disappears into an internet black hole. There appears to be very little consequences for Mr Giuseppe, as once the real bank discovers that its name is being used, it has to apply to the Company Names Court, for an order to strike off the fake bank, but regrettably the court does not investigate further nor report the matter to the police or regulator.

Dan Neidle’s firm, Tax Policy Associates, posted this message recently: “We wrote to Registered Office (UK) Ltd, the formations company used by Mr Giuseppe. They first claimed that fraudsters “just used our address”. After we pressed, the story changed – blaming their software and, finally, Companies House.

Accountant’s view

The cases I’ve reported on today are just the tip of an ever-growing mountain of online cons, made significantly worse by fraudsters increasingly turning to AI to fool both individuals and companies.

As part of my research for this Blog, I checked on Companies House and found a recent list of Giuseppe’s fake banks that had recently been dissolved, such as Goldman Sachs Finance Limited, Ing Groupe Ltd & Wells Fargo National Corporation Limited, all of which had Barbarat Giuseppe as the sole director.

So, I’ll end today’s Blog with a famous line from the 1980s TV show Hill Street Blues, spoken by Sgt Phil Esterhaus at the end of his roll call, “Just be careful out there!” which is still relevant today.