United States prosecutors have issued a subpoena to Builder.ai, a London-based AI company, requesting the submission of financial statements, accounting policies, customer lists, and other pertinent documents. This development indicates that Builder.ai was already under legal scrutiny several weeks prior to filing for bankruptcy. According to an internal company email and sources close to the matter, Adi Vinyarsh, the company's head of legal, informed employees to preserve all relevant documents following the issuance of the subpoena by the U.S. Attorney's Office for the Southern District of New York.

Builder.ai had previously garnered attention due to accusations of inflated revenue, leading to the ouster of its founder and CEO. The company's core business involves assisting enterprises in swiftly developing custom smartphone applications, and it has secured investments from prominent firms such as Microsoft. However, due to a disrupted capital chain, the company found itself in financial distress, ultimately leading to its decision to file for bankruptcy.