Whistleblower: L.A. Schools’ Chatbot Misused Student Data as Tech Co. Crumbled

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Just weeks before the implosion of AllHere, an education technology company that had been showered with cash from venture capitalists and featured in glowing profiles by the business press, America’s second-largest school district was warned about problems with AllHere’s product.

As the eight-year-old startup rolled out Los Angeles Unified School District’s flashy new AI-driven chatbot — an animated sun named “Ed” that AllHere was hired to build for $6 million — a former company executive was sending emails to the district and others that Ed’s workings violated bedrock student data privacy principles. 

Those emails were sent shortly before The 74 first reported last week that AllHere, with $12 million in investor capital, was in serious straits. A June 14 statement on the company’s website revealed a majority of its employees had been furloughed due to its “current financial position.” Company founder and CEO Joanna Smith-Griffin, a spokesperson for the Los Angeles district said, was no longer on the job. 

Smith-Griffin and L.A. Superintendent Alberto Carvalho went on the road together this spring to unveil Ed at a series of high-profile ed tech conferences, with the schools chief dubbing it the nation’s first “personal assistant” for students and leaning hard into LAUSD’s place in the K-12 AI vanguard. He called Ed’s ability to know students “unprecedented in American public education” at the ASU+GSV conference in April. 

Through an algorithm that analyzes troves of student information from multiple sources, the chatbot was designed to offer tailored responses to questions like “what grade does my child have in math?” The tool relies on vast amounts of students’ data, including their academic performance and special education accommodations, to function.

Meanwhile, Chris Whiteley, a former senior director of software engineering at AllHere who was laid off in April, had become a whistleblower. He told district officials, its independent inspector general’s office and state education officials that the tool processed student records in ways that likely ran afoul of L.A. Unified’s own data privacy rules and put sensitive information at risk of getting hacked. None of the agencies ever responded, Whiteley told The 74. 

“When AllHere started doing the work for LAUSD, that’s when, to me, all of the data privacy issues started popping up,” Whiteley said in an interview last week. The problem, he said, came down to a company in over its head and one that “was almost always on fire” in terms of its operations and management. LAUSD’s chatbot was unlike anything it had ever built before and — given the company’s precarious state — could be its last. 

If AllHere was in chaos and its bespoke chatbot beset by porous data practices, Carvalho was portraying the opposite. One day before The 74 broke the news of the company turmoil and Smith-Griffin’s departure, EdWeek Marketbrief spotlighted the schools chief at a Denver conference talking about how adroitly LAUSD managed its ed tech vendor relationships — “We force them to all play in the same sandbox” — while ensuring that “protecting data privacy is a top priority.”

In a statement on Friday, a district spokesperson said the school system “takes these concerns seriously and will continue to take any steps necessary to ensure that appropriate privacy and security protections are in place in the Ed platform.” 

“Pursuant to contract and applicable law, AllHere is not authorized to store student data outside the United States without prior written consent from the District,” the statement continued. “Any student data belonging to the District and residing in the Ed platform will continue to be subject to the same privacy and data security protections, regardless of what happens to AllHere as a company.” 

A district spokesperson, in response to earlier questioning from The 74 last week, said it was informed that Smith-Griffin was no longer with the company and that several businesses “are interested in acquiring AllHere.” Meanwhile Ed, the spokesperson said, “belongs to Los Angeles Unified and is for Los Angeles Unified.”

Officials in the inspector general’s office didn’t respond to requests for comment. The state education department “does not directly oversee the use of AI programs in schools or have the authority to decide which programs a district can utilize,” a spokesperson said in a statement.

It’s a radical turn of events for AllHere and the AI tool it markets as a “learning acceleration platform,” which were all the buzz just a few months ago. In April, Time Magazine named AllHere among the world’s top education technology companies. That same month, Inc. Magazine dubbed Smith-Griffin a global K-12 education leader in artificial intelligence in its Female Founders 250 list. 

Joanna Smith-Griffin, Founder and CEO of AllHere, joins @LAUSDSup on stage as he delivers the keynote at @asugsvsummit on Unlocking the Potential of AI. With Ed, students receive personalized support to help them excel in school. #EdTech #NextGenEd pic.twitter.com/iU9xta3B8M

— allherek12 (@allherek12) April 15, 2024

Ed has been similarly blessed with celebrity treatment. 

“He’s going to talk to you in 100 different languages, he’s going to connect with you, he’s going to fall in love with you,” Carvalho said at ASU+GSV. “Hopefully you’ll love it, and in the process we are transforming a school system of 540,000 students into 540,000 ‘schools of one’ through absolute personalization and individualization.”

Smith-Griffin, who graduated from the Miami school district that Carvalho once led before going onto Harvard, couldn’t be reached for comment. Smith-Griffin’s LinkedIn page was recently deactivated and parts of the company website have gone dark. Attempts to reach AllHere were also unsuccessful.

‘The product worked, right, but it worked by cheating’

Smith-Griffin, a former Boston charter school teacher and family engagement director, founded AllHere in 2016. Since then, the company has primarily provided schools with a text messaging system that facilitates communication between parents and educators. Designed to reduce chronic student absences, the tool relies on attendance data and other information to deliver customized, text-based “nudges.” 

The work that AllHere provided the Los Angeles school district, Whiteley said, was on a whole different level — and the company wasn’t prepared to meet the demand and lacked expertise in data security. In L.A., AllHere operated as a consultant rather than a tech firm that was building its own product, according to its contract with LAUSD obtained by The 74. Ultimately, the district retained rights to the chatbot, according to the agreement, but AllHere was contractually obligated to “comply with the district information security policies.” 

 The contract notes that the chatbot would be “trained to detect any confidential or sensitive information” and to discourage parents and students from sharing with it any personal details. But the chatbot’s decision to share and process students’ individual information, Whiteley said, was outside of families’ control. 

In order to provide individualized prompts on details like student attendance and demographics, the tool connects to several data sources, according to the contract, including Welligent, an online tool used to track students’ special education services. The document notes that Ed also interfaces with the Whole Child Integrated Data stored on Snowflake, a cloud storage company. Launched in 2019, the Whole Child platform serves as a central repository for LAUSD student data designed to streamline data analysis to help educators monitor students’ progress and personalize instruction. 

Whiteley told officials the app included students’ personally identifiable information in all chatbot prompts, even in those where the data weren’t relevant. Prompts containing students’ personal information were also shared with other third-party companies unnecessarily, Whiteley alleges, and were processed on offshore servers. Seven out of eight Ed chatbot requests, he said, are sent to places like Japan, Sweden, the United Kingdom, France, Switzerland, Australia and Canada. 

Taken together, he argued the company’s practices ran afoul of data minimization principles, a standard cybersecurity practice that maintains that apps should collect and process the least amount of personal information necessary to accomplish a specific task. Playing fast and loose with the data, he said, unnecessarily exposed students’ information to potential cyberattacks and data breaches and, in cases where the data were processed overseas, could subject it to foreign governments’ data access and surveillance rules. 

Chatbot source code that Whiteley shared with The 74 outlines how prompts are processed on foreign servers by a Microsoft AI service that integrates with ChatGPT. The LAUSD chatbot is directed to serve as a “friendly, concise customer support agent” that replies “using simple language a third grader could understand.” When querying the simple prompt “Hello,” the chatbot provided the student’s grades, progress toward graduation and other personal information. 

AllHere’s critical flaw, Whiteley said, is that senior executives “didn’t understand how to protect data.” 

“The issue is we’re sending data overseas, we’re sending too much data, and then the data were being logged by third parties,” he said, in violation of the district’s data use agreement. “The product worked, right, but it worked by cheating. It cheated by not doing things right the first time.”

In a 2017 policy bulletin, the district notes that all sensitive information “needs to be handled in a secure way that protects privacy,” and that contractors cannot disclose information to other parties without parental consent. A second policy bulletin, from April, outlines the district’s authorized use guidelines for artificial intelligence, which notes that officials, “Shall not share any confidential, sensitive, privileged or private information when using, prompting or communicating with any tools.” It’s important to refrain from using sensitive information in prompts, the policy notes, because AI tools “take whatever users enter into a prompt and incorporate it into their systems/knowledge base for other users.” 

“Well, that’s what AllHere was doing,” Whiteley said. 

‘Acid is dangerous’

Whiteley’s revelations present LAUSD with its third student data security debacle in the last month. In mid-June, a threat actor known as “Sp1d3r” began to sell for $150,000 a trove of data it claimed to have stolen from the Los Angeles district on Breach Forums, a dark web marketplace. LAUSD told Bloomberg that the compromised data had been stored by one of its third-party vendors on the cloud storage company Snowflake, the repository for the district’s Whole Child Integrated Data. The Snowflake data breach may be one of the largest in history. The threat actor claims that the L.A. schools data in its possession include student medical records, disability information, disciplinary details and parent login credentials. 

The chatbot interacted with data stored by Snowflake, according to the district’s contract with AllHere, though any connection between AllHere and the Snowflake data breach is unknown. 

In its statement Friday, the district spokesperson said an ongoing investigation has “revealed no connection between AllHere or the Ed platform and the Snowflake incident.” The spokesperson said there was no “direct integration” between Whole Child and AllHere and that Whole Child data was processed internally before being directed to AllHere.

The contract between AllHere and the district, however, notes that the tool should “seamlessly integrate” with the Whole Child Integrated Data “to receive updated student data regarding attendance, student grades, student testing data, parent contact information and demographics.”

Earlier in the month, a second threat actor known as Satanic Cloud claimed it had access to tens of thousands of L.A. students’ sensitive information and had posted it for sale on Breach Forums for $1,000. In 2022, the district was victim to a massive ransomware attack that exposed reams of sensitive data, including thousands of students’ psychological evaluations, to the dark web. 

With AllHere’s fate uncertain, Whiteley blasted the company’s leadership and protocols.

“Personally identifiable information should be considered acid in a company and you should only touch it if you have to because acid is dangerous,” he told The 74. “The errors that were made were so egregious around PII, you should not be in education if you don’t think PII is acid.” 

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