The Federal Bureau of Investigation (FBI) has arrested an American singer, Michael Smith, for allegedly earning $10 million in royalties by using artificial intelligence (AI) tools and bots to fraudulently stream songs billions of times.
Smith faces three charges: wire fraud, wire fraud conspiracy, and money laundering conspiracy. According to the U.S. Department of Justice, each offense carries a maximum sentence of 20 years imprisonment.
U.S. Attorney Damian Williams stated, “Through his brazen fraud scheme, Smith stole millions in royalties that should have been paid to other rights holders whose songs were legitimately streamed. Thanks to the FBI and the career prosecutors of this Office, it’s time for Smith to face the music,” He said.
