Three Men Indicted Over Alleged $129 Million AI Fraud Using Fake CEOs and Lawyers Worldwide

Three men have been indicted over an alleged $129 million (£96.3 million) AI fraud scheme targeting businesses worldwide, prosecutors announced on Thursday, 5 November.

Jacob Soall, 41, Sharon Hazan, 54, and Guy Sheetrit, 42, are accused of using fake chief executives and lawyers to persuade employees to authorise transfers.

Prosecutors say artificial intelligence was used to mimic executives' voices and sometimes their appearances during calls. Employees were then allegedly instructed to send money to accounts controlled by conspirators.

All three face wire fraud, aggravated identity theft and money laundering charges.

According to the federal indictment, the alleged operation began around July 2024 and continued until at least February 2026. Prosecutors say thousands of companies were targeted, although not every attempt succeeded.

How the $129 Million AI Fraud Scheme Allegedly Worked

The defendants allegedly contacted employees with authority over company payments, posing as chief executives arranging confidential transactions. Emails sometimes arrived through electronic-signature services, including DocuSign, requesting nondisclosure agreements.

Calls followed, during which AI-generated voice or image impersonations allegedly made the supposed executives appear genuine.

Employees were then referred to purported lawyers at major international law firms who provided payment instructions.

Prosecutors say the corporate deals, often presented as acquisitions, were fictitious. The money was directed to accounts controlled by members of the alleged conspiracy.

AI Fraud Allegations Involve Hospitals, Banks and British Fintech

The alleged losses extended across several industries and countries. Prosecutors identified a Missouri hospital system that reportedly lost approximately $4.8 million (£3.6 million) and a California hospital system allegedly defrauded of almost $3 million (£2.2 million).

A Rhode Island bank allegedly lost around $2.7 million (£2 million), while a British financial technology company was reportedly defrauded of approximately $11.6 million (£8.7 million) in March 2025.

The indictment alleges that the British company's chief executive and a lawyer at a major international law firm were impersonated during the operation.

Other alleged victims included a Massachusetts mutual fund company that lost approximately $4.6 million (£3.4 million) in April 2025 and a Florida pet food company allegedly defrauded of $5.2 million (£3.9 million) in June.

Not every attempt succeeded. In October 2024, a New York investment bank employee was allegedly deceived into authorising a transfer of approximately $2.8 million (£2.1 million). However, the bank's back office stopped the payment before the funds were sent.

AI Fraud Suspects' Roles Detailed in Federal Indictment

Soall allegedly impersonated UK-based lawyers, using a handwritten script titled 'Lawyer Call'. Prosecutors say the document included language discouraging employees from discussing supposed deals with colleagues.

Hazan and Sheetrit are accused of laundering proceeds. The funds were allegedly routed to overseas accounts and converted into cryptocurrency to obscure their origins.

Prosecutors say Hazan described himself as 'number one all over the world' among professional money launderers.

FBI Assistant Director in Charge James C. Barnacle Jr. said the case showed how 'advanced technology can be exploited to commit large scale fraud'.

Soall was arrested in Spain on 17 June, Hazan in Spain on 5 August and Sheetrit in the United Kingdom on 7 September, the US Department of Justice said. Extradition requests were pending when prosecutors announced the charges.

Each defendant faces seven counts. Several carry maximum prison terms of 20 years, although any sentence would depend on a conviction and the court's decision.

The indictment does not publicly name the companies or law firms allegedly impersonated, and prosecutors have not disclosed how much money was recovered.