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AI Task Force Member: Company Boards Have Fiduciary Duty to Respond to Concerns from Outside Auditors

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Scott Kupor of the AI Task Force told a Fox Business audience Monday that public-company directors must address problems independent reviewers identify in security practices or face possible personal legal exposure.

Companies that signed the relevant agreement accept those reviewers examining their security policies and reporting to the board, in the same manner as financial examinations. Kupor said the requirement exceeds any moral expectation that firms disclose issues on their own, a point the president had made, and therefore carries genuine legal force.

He noted additional liability paths exist along with steps the FTC and Justice Department can already take under current statutes.

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