Category: RAG Compliance
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5 RAG Compliance Pitfalls Under the EU AI Act
In April 2026, a Frankfurt‑based wealth management firm received a €4.5 million fine after its client‑facing Retrieval Augmented Generation system recommended a high‑risk investment product without explaining where the underlying data came from. The regulator found the firm could not trace the retrieved sources, prove they were unbiased, or demonstrate that a human had reviewed the…
