Man uses AI to generate false rumors about Chery, receives administrative penalty
A man in China used AI to generate false rumors about conflicts between Chery executives and car distributors, which spread widely on social media. The man received an administrative penalty after police investigation, and a court also ruled against a self-media outlet that published defamatory content about the company.
What happened
Beginning in June 2026, false rumors circulated on social media platforms claiming Chery marketing executives forced distributors to stockpile goods during a meeting, and that company security personnel beat a distributor resulting in injury, hospitalization, property damage, and phone confiscation.
A man identified as Hu (胡某), age 37, used AI to generate the false information and spread it online. Hu admitted to the illegal conduct and submitted written and video apologies to Chery and the executives whose reputations were damaged.
In a separate case, Chery sued Xi'an 2626 Auto Information Consulting Service Limited Company (which operates the WeChat official account and video account 'Chief of Staff Says Car') for defamation. The court found the defendant created derogatory slang terms with obvious vulgar and denigrating meanings that constituted malicious harm to Chery's corporate reputation.
Reported impact
The false information was widely retransmitted and spread, causing serious damage to Chery's corporate reputation and that of its executives.
Governance controls
Chery's legal department issued a refutation statement on June 3, 2026 via official Weibo, clarifying that the reported conflict and disputes were fabricated and calling on internet users to critically evaluate information.
After Chery filed a police report, the Wuhu Public Security Bureau determined the facts and imposed an administrative penalty on the violator.
Classification
Sources and evidence
This record was researched and written by the Index, based on the following original reporting.