Tech exec behind failed LAUSD chatbot charged with fraud [Video]

The founder of a tech startup that created a chatbot for the Los Angeles Unified School District has been charged with fraud.

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Joanna Smith-Griffin was arrested in Raleigh, North Carolina on Tuesday and charged with securities fraud, wire fraud, and aggravated identity theft. The FBI claims she misrepresented the company’s finances, illegally collecting millions of dollars from investors since 2020.

The three charges combined carry a maximum sentence of over 40 years in prison, according to the Department of Justice.

Prosecutors allege that Smith-Griffin used some of the funds for a down payment on a house and to pay for her wedding.

Smith-Griffin’s startup AllHere created an AI chatbot for the LAUSD called “Ed,” which was unveiled in March and quietly shelved over the summer. The district spent about $3 million of its $6 million commitment to the company.

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