Why do you think you need AI for this? You don't even need Indians for this, Americans will do it. I remember someone showing me a site a couple years ago that recruited for the job, and there was a Reddit where they talked about working it and how the rates paid were changing.
Governments have essentially never looked into it, despite it having gone on uninhibited for 20+ years and at the scale of billions annually for at least 16+ years.
Until Match bought the industry it was pretty much impossible to launch a dating site with profiles. The industry standard was to post fakes. Real users would then receive stock responses to keep them around until real people showed up. No AI needed. Just a bag of standard emails. Guys are incredibly dumb and ego driven. It’s very easy to get them to think a beautiful stranger is into them.
If you mean just a "dating site where all female profiles are fake, generated by site itself", then well, it's just called a "dating site". Whole dating sites industry - with hundreds if not thousands of companies, downstream industries providing them traffic, payments, and services of all kinds, industry associations, conferences, rich networking and whatnot - is doing just that. Always did. The few "real" dating apps/sites like Tinder are just a tip of the iceberg - no one tries to really imitate them - it's not possible.
Almost everything viable on the Internet today, is a "scam" in this (to my taste, extremely strict and old-fashioned, definition). Just because all available real attention has already been harvested a long time ago, and cost of traffic, which is extremely high now because extensive way of attracting it - by having people spend more time at the screen - is no longer available as people already spend glued to the screens all day - so every time to have them visit your site you have to pay more than the other guy pays to have them visit theirs - it's an auction and prices are through the roof.
Thus, if you sell people something which isn't fake, you aren't going to turn a profit. So all who did, are out of business - with the exception of yes, "big tech" monopolies that can exploit the shit out of people in a way no run of the mill scammer like those two poor hapless chaps can even dream of.