Deepfake fraud – increasing threat to businesses and individuals. Deepfake is a technology that has grown in popularity in recent years and has now become a serious threat to society. The technology makes it possible to manipulate videos and images to make them look deceptively real. Deepfake technology is now increasingly used to blackmail people, to damage reputations or to carry out political manipulation.

In this blog post, we will look at how deepfake technology works and what the legal consequences are.

Topics

I. The Rise of Deepfakes

II. danger of fraud through deepfakes

III. fake videos and deep fakes – how can users protect themselves?

IV. Legal consequences of deep fakes

V. Conclusion

The rise of deepfakes

Deepfake technology is an artificial intelligence-based technique that allows real people to be manipulated in videos. There are numerous examples of how deepfake technology is used.

The threat of deepfakes has grown in recent years. The technology has developed rapidly and is getting better all the time. It is now relatively easy to create deepfakes, even without deep knowledge of AI. Access to such technology is now easier than ever before. The threat of deepfakes will therefore continue to grow in the coming years.

The rise of deepfake technology has spawned a variety of applications that can be both positive and negative. One of the positive applications of deepfakes can be found in the film industry. The technology allows actors to be digitally integrated into scenes or actors who have already died to be digitally resurrected to complete unfinished projects.

On the other hand, deepfakes have created an increasing threat to the privacy and integrity of people and institutions. The technology has the potential to put people in unwanted or embarrassing situations or to falsely accuse them. Deepfakes can also cause people to lose confidence in the truth of visual and auditory evidence, undermining the foundation of justice and free society.

The availability of deepfake technology also has the potential to create political instability. Political actors can use deepfakes to discredit their opponents or to spread propaganda. In extreme cases, deepfakes can be used to produce false evidence against political opponents, to manipulate elections or to destabilise international relations.

Technological advances and the increasing availability of deepfake software mean that it is becoming increasingly difficult for people and institutions to protect themselves from deepfake attacks. It will therefore be important for governments and technology companies to work together to combat the misuse of deepfakes.

Are there other important aspects?

There are other important aspects that should be considered in the context of the rise of deepfakes. One such aspect concerns the role of social media and platforms in the spread of deepfakes.

Social media and platforms play a central role in the spread of deepfakes. As deepfakes often spread virally, they can quickly reach a large number of people and cause damage before they can be exposed as fakes. An example of this is the case of a fake video that showed US Congresswoman Nancy Pelosi appearing drunk. Although the video was quickly exposed as a deepfake, it already had an enormous reach and was believed by many people.

Platforms such as Facebook, Twitter and YouTube have since taken measures to curb the spread of deepfakes. For example, Facebook has announced that it will remove deepfake videos that have been manipulated to deceive people. YouTube has taken similar measures to curb the spread of deepfakes on its platform.

Another important aspect related to the rise of deepfakes concerns the impact on law enforcement. The proliferation of deepfakes can lead to false evidence being presented that can lead to a wrongful conviction or acquittal. It is therefore increasingly important that law enforcement agencies are able to detect deepfakes and verify their authenticity.

In summary, the rise of deepfakes presents a variety of challenges and threats that need to be addressed. It will be important for governments, technology companies and society at large to work together to combat the misuse of deepfakes and protect the privacy and integrity of people and institutions.

Impact on society and business

The impact of deepfakes on trust in the media and truth in general should not be underestimated.

Because deepfakes often look very realistic and are difficult to distinguish from real footage, they can cause people to lose trust in visual evidence and media reports. When people can no longer be sure whether what they see and hear is real or manipulated, this can lead to a loss of trust in the media and in truth in general.

This can also have an impact on the political landscape by exacerbating the debate about the reality of events and facts and undermining trust in democratic institutions. If deepfakes are used to produce false evidence against political opponents, to manipulate elections or to destabilise international relations, this can lead to a major threat to democratic processes and the stability of countries and regions.

It is therefore of great importance that people are aware that deepfakes exist and that they learn how to recognise and avoid them. It is also important that media organisations and journalists are aware that deepfakes exist and that they strive to verify the authenticity of recordings and evidence to ensure that they are not misleading.

In summary, the rise of deepfakes has far-reaching implications for society and it is important that we as a society address the challenges that this technology brings. We must strive to detect and prevent deepfakes and ensure that our democratic institutions and processes are not compromised by this technology.

Threat of fraud through deepfakes

The threat of deepfakes is particularly great in the area of fraud. Deepfakes are now often used to blackmail people or to defraud companies out of money. An example of this is the case mentioned above of a company whose employees were called by a deepfake caller.

Deepfake technology allows fraudsters to carry out a variety of attacks. For example, they can create fake videos of celebrities or politicians to deceive people. They can also create fake videos of CEOs or other important people in companies to extort money or otherwise commit fraud.

In civil law, victims of Deepfake fraud can claim damages against the fraudster. For example, if a business is defrauded by a Deepfake call and loses money, the business can sue the fraudster for damages to recover the money lost. If a person is defamed or insulted by deepfakes, they can sue the scammer for damages to compensate for the harm suffered.

In criminal law, deepfake fraudsters can be charged with various offences depending on the type of fraud. For example, if the fraud causes a business to lose money, the fraudster can be charged with fraud or theft. If a person is defamed or insulted by deepfakes, the fraudster can be charged with defamation or libel.

In summary, the threat of deepfakes fraud should be taken seriously and businesses and individuals should protect themselves against it. When deepfake fraud occurs, legal action can be taken to recover the lost money or to punish the fraudster. However, it is important to note that prosecuting Deepfake scams can be difficult and it is therefore important to be proactive in protecting yourself and avoiding scams.

Examples of deepfake fraud

An example of deepfake fraud is the case of fraudsters creating fake videos of bank employees to gain access to bank accounts. Among other things, the fraudsters may create fake videos of bank employees asking customers to transfer money to a fake account or reveal personal information. If customers believe they are talking to a real bank employee, they are more likely to respond to such requests.

A growing problem is also the area of audio deceptions. These are fake audio recordings where a person’s voice is manipulated to say things they never said. With this technology, fraudsters can, for example, make phone calls and pretend to be someone else in order to gain access to accounts or personal information.

To protect against the risk of fraud from deepfakes, it is important that businesses and individuals are careful and ensure they are talking to real people. They should also educate themselves about deepfakes technology and learn how to spot fake recordings. Companies should educate their employees on how to screen requests from people posing as important personalities or leaders.

It is also important that businesses and individuals increase their security measures and ensure they have up-to-date anti-virus software and firewall systems to detect and block malware and other threats. It can also be helpful to check the authenticity of recordings by comparing them against sources such as news agencies, official websites and other trusted sources.

The legal consequences of such deceptions are also important. If a person or company is deceived by deepfakes, they can take legal action against the deceiver. Legal action can vary depending on the nature and extent of the fraud and can have both civil and criminal consequences.

Known cases of deepfake fraud in Germany and Europe

One example is the case of a company in Germany that was the victim of a deepfake attack. The fraudster pretended to be the CEO of the company and asked the employees to make a transfer to an account in China. The employees, believing they were talking to the real CEO, followed the instruction and transferred 220,000 euros to the fraudster’s account. The fraudster was able to withdraw the money before the company discovered the fraud.

Another example concerns the former Austrian Vice-Chancellor Heinz-Christian Strache. In 2019, videos were released showing Strache in a house in Ibiza ready to accept illegal political influence from a supposed Russian oligarch. It was later discovered that the videos were fake and created by a Deepfake artist. However, the scandal led to Strache’s resignation and a government crisis in Austria.

Summer 2022: The Governing Mayor of Berlin, Giffey, was fooled by a fake Vitali Klitschko. The Senate Chancellery later declared that it had been a deception. She mistakenly believed she was speaking to Vitali Klitschko, the war-torn mayor of Kiev, because she saw a video conference in front of her and could see and hear him. However, it is alleged that Giffey was fooled by a forger using deepfake technology.

Another example concerns a German billionaire who was blackmailed by fraudsters. The fraudsters created a Deepfake video of the billionaire in which he owes the fraudsters money and asks them to make further payments. The scammers threatened to publish the video if the billionaire did not pay. The billionaire filed a complaint and the police were eventually able to identify and arrest the fraudsters.

These examples show that deepfake fraud is already a reality in Germany and Europe and that companies and individuals need to protect themselves against it. It is important that we are aware that deepfakes exist and that we learn how to recognise and avoid them. We also need to ensure that our democratic institutions and processes are not compromised by this technology.

Fake videos and deepfakes – How can users protect themselves?

As the threat of deepfakes continues to grow, it is important that users protect themselves from such attacks. Here are some tips that can help:

Be wary of accepting calls or emails from unknown people. Fraudsters often use fake identities to trick people.
Use strong passwords and change them regularly.
Check carefully who is behind a message or call before responding.
Make sure you use a reliable source for messages and information. Check the source before sharing a message or responding to a request.
Use anti-virus software and keep it up to date. This can help detect and remove malware and other threats.
Stay up to date with the latest technology and learn more about deepfakes and other threats. This will help you react faster and protect yourself better.
Contact experts if you suspect you have been the target of a deepfake attack. A lawyer or IT security expert can help you protect your rights and take steps to stop the attack.

Another way to protect yourself from deepfakes is to use technology designed to detect deepfakes. There are now several companies and organisations that offer software and tools to detect and prevent deepfakes.

Technologies to protect against deepfake fraud

One example is the software Truepic. This software uses blockchain technology to verify the authenticity of photos and videos. When a photo or video is taken with Truepic, it is stored in the blockchain, which means it cannot be manipulated. If a picture or video is manipulated afterwards, this becomes visible in the blockchain.

Another example is the company Amber Authenticate. This software uses cryptographic techniques to ensure that a photo or video is authentic. The software adds digital signatures and watermarks to a photo or video that make it difficult to manipulate the material.

However, it is important to note that no technology is 100% secure and it is still possible to create deepfakes that can circumvent these technologies. It is therefore important that businesses and individuals remain vigilant and cautious and follow the steps above to protect themselves from deepfakes.

Other examples of software to protect against deepfake scams

There are several other technologies and tools that have been developed to protect against deepfake scams. Here are some examples:

Authentication tools: There are tools that aim to verify the authenticity of videos and audio files by analysing patterns and characteristics of original recordings and comparing them with suspicious recordings.
Watermarking: Watermarks can be embedded in videos or audio files to increase their authenticity and make tampering more difficult.
Forensic analysis: Forensic analysis tools can be used to identify traces of editing or manipulation in videos and audio files to verify their authenticity.
Artificial intelligence: Advances in artificial intelligence can help combat deepfake fraud by improving algorithms for detecting forgeries and increasing the accuracy of tools for authenticating videos and audio files.

In summary, the threat of deepfakes is real and it is important that users protect themselves against it. It is important to be vigilant and act with caution when receiving messages or requests. It is also important to stay up to date with technology and use tools and software that can help detect and prevent deepfakes. Ultimately, however, it is important that companies and individuals are aware that deepfakes exist and that they learn how to recognise and avoid them.

Legal consequences of deepfakes

Deepfakes can have serious legal consequences, both for victims and perpetrators. Here are some of the most important legal consequences of deepfakes:

Privacy rights: deepfakes can violate people’s privacy rights. If a person appears in a deepfake video without their consent, this can be a violation of their privacy and right to their own image.
Copyrights: If a deepfake video contains copyrighted material, such as music or images, this may constitute an infringement of copyright.
Damage to reputation: If a person is harmed by a deepfake, for example by making statements that damage their reputation or making false claims, this may constitute defamation and lead to a claim for damages.
Fraud: If a deepfake is used to deceive someone or to commit fraud, this can lead to criminal consequences. Fraud may involve different offences depending on the type and extent of the fraud.
Violation of competition law: If a deepfake video is created with the intention of discrediting or harming competitors, this may constitute a violation of competition law.

It is important to note that the legal consequences of deepfakes may vary depending on the country and jurisdiction. In some countries, there are specific laws that explicitly deal with deepfakes, while in other countries, there are general laws protecting personal rights and copyright.

In any case, it is important that victims of deepfakes take legal action and contact a lawyer to protect their rights. It is also important that law enforcement agencies and governments are aware of the threat of deepfakes and take appropriate action to combat this threat.

What penalties can fraudsters face in Germany?

In Germany, fraudsters who use deepfakes to deceive their victims can face different penalties depending on how serious the fraud is. The penalties can range from a fine to a prison sentence of several years.

In general, fraudsters in Germany are punished under the Criminal Code (Strafgesetzbuch, StGB). The offence of fraud is regulated in § 263 StGB. Fraud is defined as “false pretences or the removal or suppression of true facts in order to deceive someone and thereby induce him to do, refrain from doing, tolerate or accept something which provides or is intended to provide him or a third party with a pecuniary advantage”.

The penalty for fraud depends on various factors, such as the damage caused by the fraud, the degree of deception and the criminal intent of the perpetrator. In the case of a serious fraud, such as a case of deepfake fraud, a prison sentence of up to ten years can be imposed.

It is also possible that the perpetrator will have to pay damages to the victims of the fraud in addition to a custodial sentence. Victims of deepfake fraud can also take civil action against the perpetrator to claim damages and protect their rights.

Do the victims also have to fear legal consequences?

In general, victims of Deepfake fraud do not have to fear legal consequences. They are victims of a criminal offence and therefore have the right to claim damages and take legal action against the perpetrator.

However, it can happen that the victims of deepfake fraud themselves get into legal trouble if, for example, they act illegally or violate the law as a result of the fraud. An example of this is when the victim of deepfake fraud is tricked into stealing or defrauding money in order to comply with the perpetrator’s supposed demands.

However, it is important to note that victims of Deepfake fraud cannot be held responsible for the fraud that has been perpetrated on them. For example, if the victim was coerced into committing an illegal act in order to comply with the perpetrator’s demands, this may be considered coercion or duress and the victim may not be prosecuted.

It is important that victims of Deepfake scams take immediate legal action to protect their rights and to seek compensation for damages. A lawyer who specialises in this issue can help find the best way to minimise the damage and take legal action against the perpetrator.

Deepfake scam victims: What legal steps to take?

If you have been a victim of Deepfake scams, there are several legal steps you can take to protect your rights and claim compensation. Here are some of the most important steps:

File a criminal complaint: You can file a criminal complaint with the police to prosecute the perpetrator. A criminal complaint is important to identify and prosecute the perpetrator and to gather evidence that can help with civil claims for damages.
Civil action: You can also take civil action against the perpetrator to claim damages. This may involve financial compensation or other measures to minimise the damage. A lawyer who specialises in deepfake fraud can help you take the best steps to claim compensation.
Protecting personal information: If your personal information has been used in a Deepfake video, you can also take steps to protect your personal information. You can contact a data protection authority for assistance in removing data from the internet or reporting data breaches.
Legal advice: If you have been a victim of Deepfake scams, it is important that you contact a lawyer who specialises in this issue. A lawyer can help you protect your rights and help you choose the best legal action.

It is important to note that the legal steps you can take may vary depending on the circumstances of the case. A solicitor who specialises in Deepfake fraud can help you take the best steps to claim compensation and protect your rights.

Deepfake fraud: can claims be time-barred?

Deepfake fraud claims can be time-barred if they are not brought in time. However, the limitation period depends on various factors, such as when the damage became known or should have become known and where the claim is made.

In Germany, the limitation period for claims related to deepfake fraud is usually three years from the time when the injured party became aware or should have become aware of the damage and the identity of the perpetrator. In some cases, however, the limitation period may be longer or shorter, depending on the circumstances of the case.

It is therefore important that victims of Deepfake fraud act quickly and make their claims as early as possible. A lawyer who specialises in this topic can help you understand the limitation periods and take the best legal steps to make your claim and seek compensation.

Conclusion – Deepfake scam

In summary, deepfake fraud poses a serious threat to businesses and individuals. The technology allows fraudsters to create fake videos and audio files that are often difficult to distinguish from genuine recordings. This can lead to serious financial and legal consequences.

To protect yourself from deepfake scams, it is important to be cautious and aware that such attacks can happen. Use strong passwords and keep your anti-virus software up to date. If you receive suspicious calls or emails, carefully check who is behind them before responding.

In the event of a Deepfake scam, it is important to act quickly and take legal action to protect your rights and claim compensation. A lawyer who specialises in this topic can help you take the best steps to minimise the damage and prosecute the perpetrator.

It is also important to note that deepfake technology is always evolving and continues to be a threat. It is therefore advisable to keep up to date with the latest technology and be aware of the best practices to protect against Deepfake scams.

Legal advice for victims

If you have been a victim of Deepfake fraud or fear that you may be a target of such attacks in the future, please do not hesitate to contact us. At the Herfurtner Law Firm, we have experience in dealing with deepfake fraud and can help you protect your rights and claim compensation for damages.

Our team of lawyers have in-depth knowledge of IT law and can help you take the best legal steps to minimise the damage and prosecute the perpetrator. We offer a free initial consultation to assess your situation and recommend the best options.

Do not hesitate to contact us if you need help or have any questions. We are here to help you.

Deepfake fraud: protection against the growing threat