OpenAI Whistleblowers Urge SEC Investigation into Restrictive NDAs

OpenAI whistleblowers have lodged a complaint with the U.S. Securities and Exchange Commission (SEC). According to a Reuters report, the complaint calls for an investigation into the company’s restrictive non-disclosure agreements (NDAs).

The letter, provided by the office of Senator Chuck Grassley, calls on the SEC to scrutinize OpenAI’s previous NDAs and ensure the company adheres to SEC regulations. It alleges that OpenAI required employees to waive their federal rights to whistleblower compensation and requests that the SEC impose fines on OpenAI for each improper agreement.

Senator Grassley noted that “OpenAI’s policies and practices appear to cast a chilling effect on whistleblowers’ right to speak up and receive due compensation for their protected disclosures.”

The letter calls on the SEC to examine all contracts containing NDAs, including those associated with employment, severance, and investor agreements.

In May, OpenAI established a Safety and Security Committee as it begins training its next AI model.