Pennycuick’s Bill to Curb AI Fraud Passes Senate Judiciary Committee

Sen. Tracy Pennycuick is fast becoming the Pennsylvania legislature’s expert on artificial intelligence (AI). The Montgomery County Republican recently held a hearing on AI and has worked with prosecutors to pass a law to defend against AI-generated child porn.
Now a bill she sponsored with Sen. John Kane (D-Delaware) to stop “deepfakes” unanimously passed the Judiciary Committee.
“What we are seeing amounts to forgery in the digital world, an imitation with the intent to defraud, so close to reality that many cannot discern real from fake. The potential for widespread harm will only grow as artificial intelligence tools become more sophisticated and more readily accessible,” said Pennycuick.
Technological advances, especially in AI and generative artificial intelligence, now allow individuals to create convincingly realistic images, audio, and video of others, often without consent, that are nearly indistinguishable from reality. These digital forgeries have already been used to commit financial scams, injure personal reputations, and disrupt the political process.
And the technology has been misused. Examples include criminals impersonating loved ones to swindle the elderly; fabricated political videos and calls intending to fraudulently mislead and misinform voters; and malicious digital content targeting celebrities and private citizens, according to a news release.
Senate Bill 649 amends the current forgery provisions to include “forged digital likeness.” Under this new provision, if someone creates a digital representation of a real person without their consent and distributes it as genuine, with the intent to defraud or injure, they would be subject to penalties.
Cybercrime is a fast-growing threat. The FBI has a unit devoted to cyber threats that can invade computer networks, steal financial and intellectual property and put infrastructure like power plants and water treatment plants at risk.
“As artificial intelligence rapidly advances, we’re seeing criminals use deepfake technology to not only scam people out of their money, but also steal and abuse the very identities of our neighbors, friends, and family members,” said Kane. “This isn’t just about financial fraud; it’s about protecting Pennsylvanians’ fundamental right to control their own image and voice.
“With this legislation, we’re making it crystal clear (that) if you use AI to impersonate someone without their consent to commit fraud, you will be held accountable,” said Kane. “It is vital to act now, before these technologies become even more sophisticated and accessible.”
The bill also protects First Amendment rights and preserves valid expressions of parody, satire, and other forms of free speech. The bill aims to address harmful impersonations while safeguarding legitimate artistic, journalistic, and expressive works.
“This is a common-sense, balanced approach that will help protect our constituents, businesses, and institutions. By updating our laws, we ensure law enforcement will have the tools they need to hold perpetrators accountable, while preserving the constitutional freedoms we cherish,” Pennycuick said.
The bill now moves to the full Senate for consideration.