Supreme Court throws out ₹425cr customs penalty over AI hallucination
The Supreme Court just threw out a massive ₹425 crore customs penalty because the legal arguments relied on flawed artificial intelligence (AI) research.
Turns out, some case references were either made up or wrongly cited, and even real cases were twisted to fit arguments they didn't actually support.
The court called these errors the "hallucination of AI" caused by unchecked use of AI tools.
Supreme Court judges urge citation checks
The judges made it clear: relying on AI without careful human oversight can seriously backfire, especially in important fields like law.
They urged lawyers to double-check every citation before presenting them in court and pushed for stricter guidelines and oversight regarding the use of AI tools in legal research.
This case is a reminder that while tech can help, it still needs people to keep things accurate and honest.