- Chief Compliance Officer and VP of Legal Affairs, Arrow Electronics
By Adrianne Appel2024-06-12T22:14:00
The former chief executive officer of an artificial intelligence (AI) recruitment startup that is now closed faces up to 40 years in prison and the potential of penalties levied by the Securities and Exchange Commission (SEC) for allegedly defrauding investors of more than $27 million.
Ilit Raz, an Israeli citizen, was indicted by a grand jury in New York for misleading investors about the success of Joonko, which she founded. Joonko told investors it used AI to recruit job candidates to fulfill diversity, equity, and inclusion hiring goals for its Fortune 500 clients.
Between 2021 and 2022, Raz falsely claimed the company’s customers included one of the world’s largest credit card companies, a sports apparel company, an online travel business, and a major fashion brand. But none of them were customers, the Southern District of New York (SDNY) alleged in a press release Tuesday.
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2024-07-02T20:35:00Z By Adrianne Appel
Three former executives of Chicago-based Outcome Health, a healthcare technology company, were sentenced for misleading an auditor, clients, lenders, and investors about a scheme to sell $45 million in overbilled advertisements.
2024-06-26T13:54:00Z By Adrianne Appel
A Nevada energy and manufacturing company headquartered in Nova Scotia agreed to pay $1 million to settle charges levied by the Securities and Exchange Commission for alleged market manipulation and fraud, while the agency further investigates its former chief executives.
2024-05-07T10:50:00Z By Jaclyn Jaeger
Prudent chief compliance officers should ensure artificial intelligence-related risks are being properly addressed at their businesses considering growing scrutiny being paid to the technology by the Department of Justice.
2025-04-18T17:45:00Z By Oscar Gonzalez
The U.S. Consumer Financial Protection Bureau continues to unravel amid pressure from Trump administration officials to shutter the agency. Not only has the agency informed its employees that it will no longer be a watchdog for the financial services industry, it has also laid off employees despite court orders blocking ...
2025-04-15T07:30:00Z By Aaron Nicodemus
The Consumer Financial Protection Bureau dropped yet another consumer protection lawsuit against a bank or fintech provider since Donald Trump was sworn in as president in January. This time, it was with Comerica Bank.
2025-04-11T08:00:00Z By Adrianne Appel
Block Inc., maker of the popular Cash App, has been hit with a $40 million fine by New York for its alleged failure to report suspicious activity. The move marks the latest in a string of recent state and federal enforcement actions against the company.
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