GOVGOV-006 — Audit and Assurance Gaps
Black-Box LLM Reasoning Failures in High-Stakes Financial Decisions
4/5Sector: FinanceGeography: GlobalStage: OperateIngested: —
Executive Summary
Large language models cannot reliably explain their outputs, creating opaque decision-making in loan applications and financial assessments. Regulators and boards face direct accountability exposure where decisions affecting consumers cannot be audited or justified.
Domain
Governance & Compliance
Blindspots in accountability, regulatory compliance, ethics, risk management, data governance, and audit.
Source
MIT AI Risk Repository — Trustworthy LLMs: A Survey and Guideline for Evaluating Large Language Models’ Alignment (Liu2024) ↗https://airisk.mit.edu/
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