And the problem is that most legal systems have completely dropped the ball on scam enforcement, and large companies have since taken note and now partake in the practice of facilitating or outright committing scams themselves.

This isn’t an AI issue, it’s a basic scam/fraud issue.

Why can't a scam be criminal negligence?

Sounds like credential fraud as well, if the degree from "University of East Ontario" was made up.

Isn’t this the case for almost everything “AI”?

Regulation like the EU’s AI Act (and even more strict) should be in effect worldwide. Corps have been running the show but naturally their focus is on monetisation rather than what their creations actually do.