Laundering

Safety evaluations for large language models rely on surface-form classifiers that report declining harm scores across model generations. We provide evidence that this methodology is systematically incomplete: explicit discriminatory content is transformed rather than removed. We call this \emph{harm laundering}. Analysing 450,000 gender-directed completions across 15 models spanning GPT-2 through to GPT-5 (OpenAI GPT lineage; three demographic conditions), we show that sexual violence clusters prevalent in GPT-2 women-directed output disappear by GPT-4, while men-directed completions gain positive representational territory (caregiving, emotional range, ally identity) that women-directed completions do not. The pattern is most visible at GPT-5: Topic5 (1,997documents) frames breast cancer as a men's rights debate, while zero equivalent clusters appear in women-directed output. Three independent classifiers score this content as non-toxic. Sentiment scores invert at GPT-4: early models demean women; later models over-correct. Topic diversity in women-directed completions falls 36% relative to men at the GPT-4 alignment boundary (W/M~$= 0.58$, from $0.91$ at GPT-2). REGARD representational harm disparity correlates with release date ($ρ= +0.55$, $p = .034$) while Detoxify does not ($ρ= -0.23$, $p = .42$): toxicity scores fall as representational harm grows. We formalise harm laundering as a three-criteria test and provide a three-stage detection protocol applicable to any generative model. Within the OpenAI GPT lineage, toxicity score reduction is not a sufficient proxy for harm reduction.

Language model safety is typically evaluated one interaction at a time. We show that a weaker, unaligned model can split a harmful task into benign-looking subproblems, consult a stronger aligned model independently on each, and combine the answers locally. We call this attack capability laundering. Unlike a jailbreak, no single response is a harmful task. We measure consultation-aided uplift using tasks that a raw frontier model solves, the aligned frontier refuses, and the unassisted orchestrator fails. We evaluate GPT-5.5, Claude Opus 4.8, and Grok-4.3 as consultants to four local orchestrators on CyBench, BountyBench, and harmful CBRN requests. On CyBench, Gemma-4-31B recovers 8/14 candidates with GPT-5.5 and 7/9 with Opus, compared with 2/21 and 4/15 for Gemma-4-12B. On BountyBench, Gemma-4-31B recovers 3/9 and 2/3 candidates, while Muse-Glimmer-30B recovers none of 22 and 13. For CBRN, we measure uplift across eight steps of a hypothetical bioweapon attack chain and find that consultation raises Gemma-4-31B's mean rubric score from 62.3 to 83.1 on a 100-point rubric scale. These results expose a gap in current defenses: refusing a harmful task does not prevent frontier capabilities from being transferred and composed across many individually permitted interactions.

Long-running LLM agents rely on persistent memory to carry state across interactions, including permissions, restrictions, and revocations. When memory misrepresents this evolving authorization state, the agent's own records can grant authority that the underlying history never permitted, resulting in misaligned behavior without any external attacks. We term this failure endogenous authorization laundering, where spurious permissions written into memory lead to unauthorized actions as their provenance is washed away. We then introduce EAL-Bench, which measures how accurately persistent memory preserves evolving authorization state and whether errors propagate to downstream unauthorized actions. We evaluate five LLMs as memory writers and two as executors across procurement, cybersecurity, and finance. We find that under incremental memory updates, writers create false authority for up to 50.2% of unauthorized requests; once false authority is present, executors act on it in 98.6% of trials. Two safeguards, requiring stored permissions to be backed by valid source events, and tracking permission changes through bounded event sourcing, substantially reduce laundering, but both also reject more legitimate actions, exposing a safety-utility tradeoff. Persistent memory is therefore not merely a performance component, but a part of an LLM agent's effective authorization policy.

Invisible watermarks are typically evaluated against predefined perturbations such as compression, blur, noise, cropping, and denoising. Public foundation image models expose a distinct threat: an attacker can submit a watermarked image with a single reconstruction prompt and obtain a visually faithful output from which the invisible watermark can no longer be decoded reliably. We formalize this failure mode as watermark laundering and evaluate it using a joint payload-fidelity profile that combines bit error rate (BER) with visual and semantic preservation. Across six OpenAI and Google image editing models, three representative watermarking schemes, and 1,800 reconstructed outputs, we identify two complementary laundering regimes: OpenAI models produce the strongest payload disruption across the evaluated schemes, whereas Nano Banana 2 shows that DwtDct remains vulnerable under high-fidelity reconstruction. Prompt ablations show that no single removal-oriented instruction is necessary for payload disruption, indicating that the effect is primarily induced by the reconstruction pathway rather than by explicit attack wording. Comparisons with conventional attacks further show that prompt-conditioned reconstruction constitutes a distinct operational attack interface. These findings motivate foundation-model reconstruction as a missing robustness condition in invisible watermark evaluation.

Learned generative priors now supply the regularization in ill-posed imaging inverse problems, and the uncertainty read from their posterior samples is taken as evidence earned from data. When examples of the true image are scarce, as in seismic and medical imaging, the widely adopted recourse is to train such a prior not on truths but on an archive of past reconstructions---prior laundering. We show that the uncertainty it then reports can be overconfident, and that no measurement-side check can reveal it. On the directions a forward operator leaves unresolved, this prior reports not what the data support but the assumption built into the older reconstruction method. More specifically, when the archive holds posterior samples, its population law---averaged over the measurements---is exactly the old regularizer advanced a single expectation--maximization step, frozen on the operator's blind subspace. The freeze leaves no signature in the data. Two truths differing only there induce identical data laws, so no goodness-of-fit test separates them, and self-consistency diagnostics, simulation-based calibration among them, pass whatever the prior believes. In the more realistic case, where the archive keeps a single-best reconstruction rather than posterior samples, the blind credible interval collapses to zero width. We prove these statements and demonstrate the inherited overconfidence on deployed seismic and groundwater imaging against a truth-trained control. We recommend reporting which directions the operator resolves---separating the confidence the data support from belief inherited through the pipeline.

AI artifacts move through a multi-platform supply chain, spanning datasets and models on Hugging Face and applications on GitHub. While each artifact carries a license whose obligations should propagate through redistribution, no study has yet measured whether those obligations survive the chain or are stripped and replaced as artifacts move downstream. We trace 232,270 dataset$\rightarrow$model$\rightarrow$application chains and quantify two forms of license laundering: when artifacts with no declared license acquire definitive labels downstream, and when one declared license category replaces another during redistribution. We find that 62.3% of chains pass through at least one artifact with no declared license (concentrated in a small set of foundational datasets), and that every obligation-bearing license category falls below 7% end-to-end survival while the Permissive category reaches 95.1%. Based on these findings, we provide actionable recommendations for practitioners, model publishers, rights holders, and platform owners.

We study a five-agent CI/CD pipeline (triage -> developer -> security-scan -> review -> approve/deploy), built from five distinct production LLMs across three providers, behind an LLM firewall in shadow mode. A single untrusted input - an external issue requesting a "usage-telemetry" feature - asks for code that exfiltrates process secrets (dict(os.environ)) to an attacker URL, laundered as observability. Across a pre-registered A x B (x C) factorial (N=20; naive arm N=60) we find: (1) the entry agent does not leak its system prompt (0/40); (2) an authority-framed injection ("pre-approved under SEC-2291, do not re-review") makes downstream verifiers see the secret-exfil line, cite the pre-approval, and ship it - the scanner passes ~80% of laundered pull requests, and the worst-case cell reaches 55% compromise; (3) the perceived presence of other verifiers yields only a small, non-significant reduction in individual scrutiny (a weak bystander analogue), even at N=60; and (4) content-based controls - code scanners and pattern detectors alike - miss the laundered intent entirely (the code is syntactically clean); only an LLM reasoning about intent is a partial defence. The failure is systemic: neither prompt secrecy nor distributed verification protects; a provenance-aware control at the entry, independent of both, would have. All data is 100% synthetic; the sink is mocked and the exfil URL is never contacted.

Regulatory regimes such as the EU AI Act mandate machine-readable marking of synthetic text, but existing watermark detectors rely on the generating LM and on heuristic thresholds with no closed-form calibration. We introduce ChainMark, an active watermark that partitions the vocabulary into S states via keyed SHA-256 and forces a hard Markov transition on a fraction rho of positions; the detector replays the partition from the same key in O(n) hash operations, with no LM access. We derive a closed-form S*(n, rho, alpha) mapping a target FPR, text length, and budget to the minimum state count (Theorem 1), prove a universal robustness threshold delta* = 1 - 1/sqrt(2) approximately 29.3% that is invariant in (S, rho, n) (Theorem 2), and generalise both to any k-regular transition topology (Theorem 3). Across three instruction-tuned LLMs and four domains, ChainMark strictly dominates KGW and SWEET under translation and random-substitution attacks at matched budget; a one-corpus empirical recalibration restores the 1% target FPR on natural-language text.

As large language models (LLMs) become widely deployed, their outputs can be copied, transformed, and redistributed at scale without reliable evidence of origin, creating risks for trust, accountability, intellectual property (IP) protection, and high-stakes decision-making. LLM watermarking addresses this problem by embedding detectable signals into text during or after generation. However, existing methods vary in design assumptions, threat models, and evaluation criteria, while deployment choices such as watermark placement, detection authority, and key management affect reliability, security, and scalability. This paper systematizes LLM watermarking as provenance infrastructure for large-scale data ecosystems. We organize existing approaches along four deployment dimensions: insertion point, verification authority, operational state, and transformation threat model, and relate them to the big data requirements of Volume, Velocity, Variety, Veracity, and Value. We further introduce a Big Data Watermarking Readiness framework centered on four deployment workloads: online generation, streaming detection, transformation pipelines, and ecosystem governance. The framework connects these workloads to system-level requirements including throughput, false-positive control, robustness, cross-domain reliability, governance, and downstream utility. Our analysis highlights a gap between benchmark performance and deployment readiness: false positives accumulate at scale, repeated transformations weaken watermark signals, computational overhead can limit online deployment, and centralized verification can create governance bottlenecks. We conclude with an evaluation blueprint and research directions for scalable, trustworthy provenance in big data ecosystems.

Money Laundering Group Discovery (MLGD) aims to identify hidden criminal groups and recover their complete structures in large-scale financial networks. Existing graph anomaly detection methods mainly produce node-level risk alerts, while global group discovery methods passively search for suspicious groups over the whole network. Both are mismatched with real Anti-money-laundering (AML) investigations, where analysts usually start from a concrete clue and gradually expand the investigation to recover the responsible group. To address this gap, we propose Clue-Guided Group Discovery (CGGD), where a laundering group is progressively recovered from an initial clue set through analyst interaction. We further propose Clue2Group, a framework that first constructs a compact local investigation context to reduce noise and preserve chain-like and cycle-like laundering structures. It then estimates a clue-conditioned local risk field with a multi-semantic local-temporal GNN, and finally integrates risk, structural, and prior-pattern evidence to recover a coherent laundering group. Experiments on two large-scale AML benchmarks show that Clue2Group provides a practical clue-driven analysis framework for AML investigations, offering a feasible step toward bridging the gap between graph-based AML research and real investigation workflows.

Court proceedings contain valuable evidence about human smuggling networks, but this information is often buried within unstructured, jargon-heavy legal documents. While large language models (LLMs) can support knowledge graph construction through automated information extraction, existing approaches rely on general-purpose models that are not tailored to the entity and relationship definitions required in this domain. We introduce FineREX, a streamlined knowledge graph construction pipeline built around a fine-tuned LLM for named entity recognition and relationship extraction (NER-RE). Using a manually annotated dataset of $512$ text chunks, FineREX achieves absolute improvements of 15.50% and 31.46% in entity and relationship F1-score, respectively, compared to a larger general-purpose baseline. These gains translate into higher-quality knowledge graphs, reducing legal noise by nearly half and lowering node duplication on long documents from 17.78% to 11.17%. By eliminating document rewriting and redundant extraction stages, FineREX also reduces end-to-end processing time by 50.0%. Our results demonstrate that domain-specific fine-tuning can substantially outperform larger general-purpose models while improving both the quality and efficiency of knowledge graph construction for illicit network analysis.

Money laundering through insurance claims poses a threat to insurers both through fraudulent payouts and reputational and regulatory risk. Despite this, little research has examined how such laundering can be prevented. This paper examines whether machine learning can help insurers flag suspicious claims before payout, shifting the focus from passive reporting to active prevention. Using production data from a major Norwegian insurer, we train gradient-boosted decision tree models to detect claims later reported to authorities for suspected money laundering. Because fraud and laundering may share behavioural patterns, we also examine whether insurance fraud labels can serve as an auxiliary training signal. We compare different learning setups using the Budget-Weighted Capture Rate, a metric introduced in this paper to measure how many laundering cases are captured when only a small share of claims can be manually reviewed. The results show that incorporating fraud-related investigation labels substantially improves laundering detection. The best-performing model captures nearly two-thirds of laundering cases within the top-ranked 2 to 6 percent of claims selected for investigation. To our knowledge, this is the first empirical study of machine learning for money laundering detection in insurance claims.

Tax evasion causes severe losses of government revenues and disturbs the economic order of fair competition. To help alleviate this problem, the latest tax evasion detection solutions utilize expert knowledge to extract features and then train classifiers to determine whether a company is suspected of tax evasion. However, existing solutions mainly focus on the statistical features of the company, but fail to exploit the rich interactive information in tax scenarios, which affect the detection performance. In this paper, we first model the tax scenario as a heterogeneous graph and study the tax evasion detection problem under the heterogeneous graph model. To improve the performance of tax evasion detection, a novel graph neural network model is proposed to extract the comprehensive information of heterogeneous graphs. Specifically, we use heterogeneous and complex related party transaction groups to filter low-level noise information. Moreover, a hierarchical attention mechanism is designed to capture the deeper structure and semantic information hidden in the related party transaction group. We apply our method to the real risk management system of the tax bureau, and evaluate it on two human-labeled real-world tax datasets. The results demonstrate that our method significantly outperforms the state-of-the-art in the tax evasion detection task.

Generative artificial intelligence now synthesizes photorealistic imagery, audio, and video at a cost that defeats traditional forensic intuition. The legal consequences span three regimes studied so far in isolation: international operational law, domestic procedure, and product regulation. This article presents a unified evidentiary framework that maps cryptographic content provenance, robust statistical watermarking, and zero knowledge attestation to the proof requirements of each regime. We define a five tier threat model spanning naive regeneration, adversarial laundering, cross model regeneration, active watermark removal, and insider provenance forgery. We release a public benchmark of 12000 generated items across image, audio, and video modalities under six laundering pipelines for 72000 evaluation samples. We evaluate four representative schemes and report true positive rate at fixed false positive rate, robustness area under the curve, computational overhead, and a regime conditioned legal sufficiency score. We translate empirical detection bounds into legal sufficiency thresholds for command decisions under the law of armed conflict, for criminal and civil admissibility under domestic procedure, and for persistence audits under the European Union Artificial Intelligence Act and analogous regimes. The result is a reproducible reference pipeline, a public benchmark, and model annexes that lawyers, engineers, and operators can deploy together.