Artificial Intelligence Startup CEO Charged With Investor Fraud

The founder and chief executive officer of an artificial intelligence startup was charged with securities fraud, wire fraud, and aggravated identity theft in connection with defrauding the company’s investors, the Justice Department announced Tuesday.

According to the DOJ, Joanna Smith-Griffin engaged in a scheme to defraud investors in AllHere Education, an educational technology startup that sold AI software designed to increase classroom attendance and engagement in K-12 school districts. Beginning as early as AllHere’s Series A financing round in 2020 and continuing through the collapse of the company in June 2024, Smith-Griffin misrepresented AllHere’s revenue, customer base, and cash ...