Gatekeepers including chief financial officers and the chair of the audit committee have a responsibility to shareholders to report fraud wherever they find it–especially when that fraud involves an artificial intelligence (AI) tool meant to combat fraud.

In a recent case involving startup digital advertising technology firm Kubient, those gatekeepers failed to act when they recognized financial misconduct perpetrated by the company’s CEO, even lying to an independent auditor to cover it up.

The case involves Paul Roberts, the former chair, CEO, and president of Kubient, whom the Securities and Exchange Commission and Department of Justice alleged Tuesday had falsely booked $1.3 million in revenue and misrepresented the efficacy of an AI-powered fraud detection tool. “Roberts fabricated reports that Kubient had successfully tested a software program that detects real-time fraud during digital advertising auctions,” the SEC said.