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Michigan Credit Union CEO’s AI-Generated “Lake America” Photo Triggers Backlash and Apology

By Drooid · · How we work

The Controversial Post

Jane Smith, chief executive officer of Family First Credit Union in Saginaw, Michigan, posted an AI-generated image to her personal Facebook page while on a family vacation to Halifax, Canada. The picture showed Smith and three relatives wearing dark-blue sweatshirts emblazoned with “Lake America.” The image was labeled as AI-created, but a screenshot shared by her sister omitted the label. Within days, the post went viral, prompting intense online criticism, death threats directed at Smith, and an early return to Michigan.

Background: Proposed Renaming of a Great Lake

The incident followed President Donald Trump’s executive order to rename Lake Ontario “Lake America” amid a trade-policy dispute with Canada. Canadian officials defended the historic name, while U.S. lawmakers introduced legislation to block the change.

Official Statements & Responses

  • Smith pledged not to use AI for similar purposes again.
  • The Board of Directors of Family First Credit Union released a statement disapproving the post, emphasizing that the CEO’s personal actions do not reflect the credit union’s values.
  • Erin Hancock, program manager at Saint Mary’s University in Halifax, confirmed that Smith was not involved in any university event and dismissed the incident as an “internet urban legend.”
  • Halifax police declined to comment, noting they cannot confirm involvement without formal charges.

Criticism & Opposition

Zachary McDaniel, a Family First customer, said he was disappointed and believes leaders should engage their communities before sharing political content.

Conflicting Reports & Gaps

  • Smith maintains the original Facebook post included an AI disclaimer; her sister’s repost omitted it. The discrepancy has not been independently verified.
  • Reports differ on the extent of the threats; Smith described them as “death threats” that prompted an early departure, but police have not confirmed this.

Verbatim Quotes

  • “We weren't trying to make a political statement,” — Jane Smith
  • “Family First Credit Union unequivocally disapproves and rejects the content of the social media post involving our CEO, Jane Smith," The Board of Directors said in a statement to ABC12.” — The Board
  • “It was insensitive, distasteful and in poor judgment. It should never have been created or shared. Though the image did not depict a real event, I understand that the image was hurtful and offensive,” — Jane Smith
  • “I think the AI can be dangerous in the fact that it can make people think something's real that's not,” — Jane Smith

These statements illustrate the range of perspectives—from the CEO’s explanation of intent to the credit union’s formal repudiation and concerns about AI-generated misinformation.