A surprising incident unfolded as a fabricated press release emerged on the London Stock Exchange (LSE) website, suggesting that US private equity firm Ripplewood was gearing up to invest a staggering $1 billion into OpenAI, the company behind Chat-GPT.
The press release, hosted on the LSE’s regulatory news platform, asserted that Ripplewood intended to position the software as a pivotal force within its fund. It implied that a stake in Chat-GPT would be a highly valuable asset, particularly in the event of a future Initial Public Offering (IPO).
According to the deceptive release, this AI-infused investment opportunity aimed to offer investors a convenient and efficient means of optimizing their portfolios. The launch of this AI-driven investment option was slated for the close of 2023, pending successful participation in OpenAI.
Ripplewood’s Reaction and Legal Action
The appearance of this fraudulent corporate announcement took Ripplewood by surprise, prompting the firm to engage legal professionals to probe the situation.
The counterfeit press release reportedly entered the exchange through the German news wire EQS News. Ripplewood CEO and co-founder, Tim Collins, emphasized the gravity of the situation, labeling it as illegal and asserting that authorities had been contacted.
LSE’s Response and Scam Implications
Upon realizing the illegitimacy of the press release, the London Stock Exchange promptly announced its intent to remove the deceptive content from its website.
The nature of the fake announcement suggests that it may have been an attempt to deceive unsuspecting individuals into contributing funds to scammers posing as corporate advisors involved in AI investments.
Continued Scams and Financial Impact
This incident is just one among many where scammers exploit the reputation of American investors to manipulate members of the public.
Previous scams have targeted WhatsApp users, often masquerading as prominent financial institutions like Goldman Sachs, aiming to lure victims into crypto investment schemes.
Such fraudulent activities have contributed to substantial financial losses in the UK, with over £1.2 billion reported stolen through fraud in 2022, as per UK Finance data.
OpenAI’s Ownership and Silence
Notably, OpenAI, the organization at the center of this deceptive release, did not provide an immediate response when requested for comment.
The company, which created the acclaimed Chat-GPT, is partially owned by Microsoft following a $10 billion investment made by the tech giant in January 2023.
This incident highlights the vulnerability of financial markets to sophisticated scams and the crucial need for vigilance among investors, corporations, and regulatory bodies alike.