Introduction
In a recent development, the New York City Department of Investigation has launched a probe into an artificial intelligence company that had its technology tested in a migrant shelter under the Eric Adams administration.
Background
Remark Holdings, a company based in Las Vegas with financial instability and links to China, came under scrutiny following a previous investigation by POLITICO. The investigation revealed how Timothy Pearson, a former top aide of Mayor Eric Adams, played a pivotal role in introducing Remark Holdings to the city administration.
Timothy Pearson, responsible for overseeing contracts related to migrant shelters, faced multiple corruption allegations and was eventually asked to resign. During his tenure, Pearson not only promoted Remark Holdings within city agencies but also had a personal relationship with a consultant associated with the company.
Current Investigation
The Department of Investigation hinted at the ongoing probe in response to a request by POLITICO under the Freedom of Information Law. However, due to the sensitive nature of the investigation, the agency refrained from disclosing further details.
Response from City Hall
A spokesperson from City Hall clarified that Remark's AI technology was utilized in a Brooklyn migrant facility as part of a pilot program at no cost to the city. It was emphasized that all city staff are expected to adhere to ethical guidelines and conflict of interest regulations.
Kai-Shing Tao, the CEO of Remark Holdings, refrained from commenting on the investigation but highlighted that their technology had been vetted by key city departments before deployment. Despite meeting technical requirements, the company did not progress to the procurement stage.
Legal Implications
Richard Levitt, a legal representative for LaTrisha Winston, a former consultant of Remark Holdings and an associate of Timothy Pearson, chose not to provide any comments. Reports indicated a contractual agreement between Winston's consulting firm and Remark Holdings prior to Pearson's active promotion of the company's products within the city.
Company's Track Record
Remark Holdings has previously faced scrutiny for its involvement in surveillance projects in China and financial losses reported to the Securities and Exchange Commission. Despite these concerns, the company has engaged with prominent New York City clients, including establishments endorsed by the mayor.
Conclusion
The unfolding investigation into Remark Holdings' collaboration with the Eric Adams administration raises questions about potential conflicts of interest and the use of AI technology in public facilities. As the probe continues, the spotlight remains on the intertwined relationships between city officials and external entities.