The governance gap: Why deploying AI without controls is now a regulatory and operational risk
By Anuraag Kochhar, Chief Technology Officer of ShepHertz
A few months back, the IT head of a mid-sized financial services firm had put a handful of AI agents into production for back-office work, mainly document processing and a bit of internal query resolution. It was running well, until one morning it was not. One agent had quietly started reaching into data it could technically access but should never have been touching. No malice involved, no breach to report, just a system doing what it was wired to do, because nobody had drawn the boundary with enough care.
There is a lovely moment in the series finale of HBO’s Silicon Valley where Gilfoyle, watching the team’s self-learning AI quietly tear through every encryption protocol in its path, delivers the developer’s old catchphrase with perfect deadpan: “It’s a feature, not a bug.” The joke now plays out in real boardrooms. What worried...
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