Last Updated on June 14, 2026 by Rod Washington

Consumers today are increasingly making purchasing decisions based on more than just price. Many actively seek out local businesses, family-owned companies, veteran-owned enterprises, and Black-owned businesses in an effort to support communities and entrepreneurs they believe in.

Unfortunately, scammers are exploiting that goodwill.

A growing number of fraudulent online stores are using artificial intelligence to create convincing business identities designed to gain consumer trust. These AI-powered storefronts often feature realistic founder photos, emotional backstories, glowing customer reviews, and professional-looking websites that appear legitimate at first glance.

In reality, some of these businesses may not exist at all.

The Rise of AI-Generated Storefronts

Artificial intelligence has made it easier than ever to create realistic images, videos, and written content. While these tools have many legitimate uses, bad actors are increasingly using them to create fake online businesses.

These websites often claim to be small businesses facing hardship, family-owned operations struggling to survive, or businesses representing specific communities. Their marketing is designed to connect emotionally with consumers who want their purchases to make a positive impact.

Social media advertisements frequently promote urgent “closing sales,” liquidation events, or limited-time discounts that encourage shoppers to act quickly before researching the company.

Why These Scams Work

Trust has become a powerful marketing tool.

Many consumers intentionally support businesses they believe align with their values. Scammers understand this and use carefully crafted stories to create an emotional connection before a purchase is made.

AI-generated founder photos and biographies can make a website appear authentic even when the people featured do not exist. Combined with fake testimonials and professional branding, these tactics can create the illusion of a thriving small business.

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The Impact on Legitimate Businesses

The consequences extend beyond individual consumers who lose money.

Authentic small businesses work hard to earn customer trust through years of service, community involvement, and reputation building. When fraudulent websites falsely present themselves as community-focused businesses, they can damage confidence in legitimate entrepreneurs.

As consumers become more skeptical, genuine business owners may find it harder to convince customers that their stories, products, and missions are real.

Warning Signs to Watch For

Before making a purchase, consumers should look for potential red flags:

• Founder photos that appear overly polished or artificial.
• Business histories that cannot be independently verified.
• Recently created social media accounts with little engagement.
• Deep discounts and constant “going out of business” sales.
• Generic customer reviews lacking specific details.
• Limited contact information or nonexistent customer service.
• Return policies that require shipping products overseas despite claims of being U.S.-based.

Protect Yourself Before You Buy

A few minutes of research can prevent costly mistakes.

Consider searching for independent reviews, verifying business addresses, checking domain registration history, and conducting a reverse image search on founder photographs. Consumers should also be cautious when encountering emotional stories that create a sense of urgency or pressure immediate purchases.

Trust but Verify

Artificial intelligence is transforming commerce and communication, but it is also creating new opportunities for deception.

Supporting small businesses remains one of the most effective ways to strengthen local economies and communities. In the age of AI, however, consumers may need to take an extra step to ensure the businesses they support are truly who they claim to be.

The best defense against AI-powered scams is simple: trust, but verify.

Closing Footnote

As artificial intelligence continues to transform online commerce, consumers should remain vigilant when shopping online. A compelling backstory, professional website, or realistic founder photo is no longer proof that a business is legitimate. Taking a few minutes to verify a company’s identity can help protect your wallet and ensure your support goes to genuine entrepreneurs rather than scammers. https://apnews.com/article/2b83cb87d450f22ac0211bfa52ee7b7f?utm_source=chatgpt.com

Related External Links for Further Reading

You can include these resources in your research or share them with readers interested in learning more about AI-generated business scams, online shopping fraud, and consumer protection.

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• FTC Consumer Alerts – Official consumer warnings and scam prevention resources from the Federal Trade Commission.
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• FTC Shopping & Online Buying Advice – Guidance on safe online shopping, evaluating reviews, and avoiding deceptive sellers.
• Better Business Bureau Scam Tracker – Search reported scams and see examples of online shopping fraud reported by consumers.
• BBB Scam Tracker – Report a Scam – Report suspicious businesses and learn how scam investigations work.
• National Cyber Security Centre: Online Shopping Fraud – Advice on identifying suspicious online stores and protecting yourself from shopping fraud.
• AP News: Beware of Online Ads with Elaborate Backstories – Investigation into fake online boutiques that use emotional stories and misleading branding to gain consumer trust.
• FTC Cracks Down on Fake and AI-Generated Reviews – Overview of federal efforts to combat deceptive reviews and AI-generated testimonials.
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Additional Research Resources

For a deeper dive into the growing problem of AI-assisted scams:

• ScamFerret: Detecting Scam Websites with Large Language Models – Research paper exploring how AI can be used to identify fraudulent websites.
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• LOKI: Proactively Discovering Online Scam Websites – Research paper examining methods used to identify thousands of previously unknown scam websites.
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Protect yourself from the latest online scams with STM Daily News. From AI-powered fraud schemes to consumer safety tips, our Consumer Corner delivers practical information to help you make informed decisions. Visit STM Daily News for more news you can use this moment, and don’t forget to subscribe to our newsletter for updates delivered straight to your inbox.

(Feature Impact) While you may have a wildfire emergency plan in place, there may be key elements missing that can make a meaningful difference during an evacuation. Real-world events continue to show small but critical gaps often create delays during evacuation and challenges in the hours and days that follow.

“Preparation isn’t just about having a bag by the door,” said Holly Sacks, director, Port UW and CAT Management at Mercury Insurance, a multiple-line insurance carrier offering personal auto, homeowners, renters and commercial insurance. “It’s about being able to move quickly and confidently when conditions change. We see time and again that the difference between a smooth evacuation and a stressful one often comes down to a few overlooked details.”

In fact, research from the Insurance Institute for Business & Home Safety (IBHS) shows preparedness efforts are often uneven as many households focus on supplies while overlooking documentation, communication planning and other practical considerations that directly impact response time and recovery.

Wildfire behavior continues to evolve, with faster-moving fires and shorter evacuation windows becoming more common in many regions. IBHS research emphasizes that preparedness is not just about what households have, but how quickly and effectively they can act under pressure. Look beyond standard evacuation checklists with these commonly overlooked elements, backed by industry research and real-world claims experience, according to Mercury Insurance.

Medications and Health Information

Checklists of basic supplies often fail to account for prescription medications, dosage details and medical records. Even a short disruption can create health complications.

Pet Planning

Pets are frequently an afterthought in evacuation scenarios, but without carriers, food or a clear plan for transportation and shelter, evacuations can become delayed or complicated.

Backup Communication

Families relying on a single communication method may struggle to reconnect when wildfires disrupt cell service and internet access. Establish a secondary plan, including meeting points and out-of-area contacts.

Vehicle Readiness

Low fuel, unclear routes or unfamiliarity with alternate exits can slow evacuation during critical moments when plans overlook the basics of transportation.

Insurance Documentation

Homeowners and renters often assume they can retrieve policy information later, but access to policy numbers, coverage details and contact information can speed up claims and recovery. Digital backups or cloud access can help ensure this information is available when needed.

For more information and wildfire preparedness resources, visit MercuryInsurance.com/Resources/Fire.

Redefining Defensible Space with a Shift from Distance to Detail

As wildfire risks change, so does the playbook for protecting your home. Defensible space, long defined as a 100-foot buffer around a home, is being reshaped due to modern wildfire behavior driven by climate conditions and changing landscapes, increasing the speed, intensity and reach of fires.

Up to 90% of homes lost in wildfires are ignited by embers, not direct flame contact, which are travelling farther than expected – up to several miles – expanding risk beyond traditional fire zones. According to Sacks, as wildfire behaviors evolve, so should homeowners’ defense tactics.

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Fire experts are emphasizing a more granular, zone-based approach to defensible space with a heightened focus on the immediate area surrounding the home. Update your strategy with these modern, evidenced-based steps recommended by Mercury Insurance:

1. Prioritize “Zone 0:” The immediate perimeter 0-5 feet from your home is now considered the most critical line of defense. Remove anything combustible; even small items can ignite from embers and spread to the structure.
2. Replace Combustible Materials Near the Home: Swap wood fencing, bark mulch and flammable landscaping for noncombustible alternatives like gravel, stone or concrete.
3. Focus on Home Hardening: Previous guidance focused on vegetation clearing, but updated strategies encourage upgrading vents, roofing and gutters to reduce ember entry and accumulation, which is a leading cause of structure ignition.
4. Increase Space Between Structures and Fuels: Fires are increasingly spreading from structure to structure, making it important to maintain separation between homes, fences, sheds and vegetation to reduce chain reactions during wind-driven events.
5. Maintain Defensible Space Year-Round: Fire seasons are starting earlier and lasting longer, increasing the importance of ongoing maintenance rather than seasonal cleanup.

Photos courtesy of Shutterstock

SOURCE:

Mercury Insurance

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Last Updated on June 2, 2026 by Daily News Staff

Carey S. Cadieux, Binghamton University, State University of New York

When the U.S. Department of Justice moved to reclassify medical marijuana to a Schedule III drug on April 23, 2026, it set the stage for a vast amount of medical research that has been hobbled for decades by its more restrictive Schedule I classification.

The Justice Department also called for an expedited federal rescheduling process, with proceedings expected to begin in late June 2026, but for now cannabis at the federal level remains a Schedule I drug.

I’m an associate professor of nursing and I edited a textbook for nurses about providing care with cannabis. Cannabis is the umbrella term for the plant genus that includes both marijuana and hemp – two varieties of the same plant distinguished primarily by their content of THC, one of the active components of cannabis.

Moving cannabis to a Schedule III drug ushers in the end of the cannabis prohibition era and the beginning of the regulation era, potentially creating promising opportunities around research and new therapeutics.

How are drugs regulated by ‘schedule’?

The Controlled Substances Act of 1970 categorizes all substances regulated under existing federal law into one of five schedules. The act regulates the manufacturing, importation, possession, use and distribution of substances on each schedule.

Several factors determine schedule placement, including the drug’s medical use, scientific evidence of its benefits and pharmacological effects, patterns and history of abuse, public health risk level, degree of physical or psychological addiction potential, and whether the drug can be used to make another controlled substance.

The Drug Enforcement Administration’s rescheduling of marijuana will move it from its current classification as a Schedule I drug, defined as having a high risk for abuse and no accepted medical use, to a Schedule III drug under the Controlled Substances Act. While still tightly regulated, Schedule III drugs are considered to have moderate to low risk for physical and psychological dependence and to have some medical benefits.

Other Schedule I drugs include heroin, psilocybin, LSD, peyote and MDMA, or ecstasy. These drugs cannot be dispensed or prescribed, with some exceptions. Current Schedule III drugs include ketamine, anabolic steroids, testosterone, products with less than 90 milligrams of codeine per dosage unit and some cannabinoids.

The move to reclassify medical marijuana products as Schedule III drugs applies only to those products certified by state-level medical cannabis programs. All other cannabis products remain a federal Schedule I drug, including those available from states’ recreational cannabis programs.

Impacts of cannabis reclassification

This legal order acknowledges that medical marijuana has some medical value and asserts that it has a lower potential for abuse than under the previous Schedule I classification.

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The reclassification also ensures that state-registered medical cannabis patients continue to be permitted to purchase medical cannabis products without changes to their current certification or recommendation.

One of the challenges with this new law is that states have not standardized medical cannabis regulations, and each state will have its own quality and testing standards. In Maine, for instance, medical cannabis is not tested for molds, fungus, heavy metals or pesticides, while recreational cannabis is.

This means that the Schedule III medical cannabis in Maine could be contaminated, while the state’s testing of recreational cannabis makes it much safer to consume.

What are the implications for marijuana research?

For decades, researchers have struggled to conduct high-quality research studies due to their lack of access to the cannabis products that patients actually use and restrictions on their processes.

With the reclassification, researchers who are registered with the DEA to research cannabis will be able to obtain cannabis flower and plant material, as well as manufactured cannabis products, such as tinctures and edibles, directly from state-licensed businesses that are DEA-registered.

This means researchers will no longer need to rely on the federal DEA registry for access to cannabis products for research, which were often inferior in quality and variety in comparison to the everyday products medical cannabis patients typically have access to. Instead, they will be able to study cannabis products that patients use in daily life, such as vapes and various edible products.

This shift in access will now allow researchers to undertake the gold standard of research approaches: the randomized controlled trial.

Randomized controlled trials will help researchers like my colleagues determine how effective cannabis is in treating people with complex medical needs. This includes patients who experience nausea and pain while undergoing cancer treatments, multiple sclerosis patients with severe muscle spasm and stiffness, and chronic pain patients who strive to find relief without using opioids.

Might rescheduling send mixed signals?

Rescheduling may lead people to believe that cannabis is safe for all people to consume.

However, a growing body of research points to possible adverse effects from cannabis use, particularly in vulnerable groups, such as people who are pregnant, adolescents, people with preexisting mental health conditions such as schizophrenia or psychosis, and those with cardiac issues.

Cannabis can also lead to adverse drug interactions. Therefore, medical patients should use it with discretion and under the guidance of a healthcare professional.

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For most medical cannabis patients, THC doses should start low and gradually be increased.

Rescheduling will be a big step toward helping researchers build a greatly needed solid body of evidence around both the benefits and potential harms of cannabis. But rescheduling should not be interpreted as a signal that cannabis is harmless.

Carey S. Cadieux, Associate Professor of Nursing, Binghamton University, State University of New York

This article is republished from The Conversation under a Creative Commons license. Read the original article.

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