Agentic AI Presents New Frontier for Fraud Against Financial Companies

Agentic artificial intelligence tools can work autonomously to help scammers defraud financial companies while making the crimes difficult to trace, speakers at an SEC conference warned Thursday.

“You’ve essentially got a series of baton hand-offs between the various agentic models that are occurring,” said Katherine Forrest, a Paul Weiss partner who chairs the firm’s digital technology group. “What that really means for various kinds of financial services, potential scams or fraud is that the ability to trace back where the problem occurs becomes increasingly more complicated.”

Agentic AI refers to tools that act as agents on behalf of humans, handling ...