The CEO of a Saginaw, Michigan-based credit union has left the company after photos on Facebook appeared to show the executive and her family wearing “Lake America” sweatshirts.
Family First Credit Union named its chief operations officer, Jason Acosta, as interim CEO, effective immediately, the institution said in a letter to members Wednesday, adding that Jane Smith, the former CEO, “is no longer an employee.”
“We sincerely apologize for the concern, disappointment and pain this situation has caused our members and community,” the $96.8 million-asset credit union wrote Thursday in a Facebook post. “We understand that members of our community may hold different perspectives about this decision. Our responsibility is to act in the best interest of the Credit Union, uphold the trust of our members and continue putting our community first.”
Smith, in an interview with WJRT-TV, an ABC News affiliate in Michigan, said the photo posted to Facebook was altered using artificial intelligence. Smith and three family members were headed to Halifax, Nova Scotia, on Sept. 11 for a 10-day trip, she said.
Considering they would soon be in Canada – which neighbors Michigan – discussion among the group turned to President Donald Trump’s executive order last month renaming Lake Ontario.
“We weren’t trying to make a political statement,” Smith told the television station Sept. 17. “However, we were, you know, kind of poking fun at the fact that you know one of the Great Lakes’ names were getting changed.”
Smith said the group photographed themselves in front of a departure gate at the Detroit airport, then she ran the picture through ChatGPT to add the “Lake America” clothing.
“We never had actual sweatshirts. We never wore sweatshirts,” Smith said.
Smith then posted the altered photo to her private Facebook page with a label indicating it contained AI content.
Smith’s sister, however, took a screen shot, added the caption “Like our sweatshirts? Not sure Canada will. Lol lol,” and reposted it publicly with no AI label, according to the former CEO. The repost went viral.
“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,” Smith said Sept. 16 in a statement to the television station. “I never intended to insult, mock or harm anyone, but I recognize that my intent does not erase the impact … I made a mistake. I own that mistake, and I am committed to learning from it.”
Smith was originally set to be in Canada through Sept. 21. She had returned to the U.S. by that Sept. 16 broadcast, she said, noting that she had received death threats.
"I'd say you dingdongs have messed with the wrong city," a Halifax resident commented on an Instagram post by Breaking News Canada that shared the image.
"Imagine coming to another country to visit and shop and dine at our businesses while actively disrespecting them and expecting great service and kindness,” another commenter wrote. “I wonder how many spit burgers and drinks they consumed.”
Another commenter, replying to a Facebook post by Northly Halifax, noted the timing of Smith’s gaffe.
"And on the anniversary of 9/11 when Atlantic Canadians were so kind and welcoming of stranded Americans," the commenter wrote. (When U.S. airspace abruptly closed Sept. 11, 2001, a small airport in Gander, Newfoundland, received nearly 7,000 stranded airline passengers and dozens of commercial aircraft.)
Family First Credit Union did not indicate Wednesday whether Smith resigned or was let go, nor did it say whether fallout from the viral post was the reason for Smith’s departure.
It did, however, make a statement to the Michigan television station around the time of Smith’s early interviews.
“Although the post involved Ms. Smith in her personal capacity in connection with a family vacation, the post is unacceptable,” Family First said. “We support and respect our Canadian neighbors, and we completely disavow Ms. Smith’s actions, which were undertaken without the authorization or knowledge of the Credit Union.”
Trump’s effort to rename Lake Ontario has arguably accelerated a spate of tariffs between the U.S. and Canada.
Three Democratic members of Congress introduced a bill last month to block the renaming – and prohibit the future renaming of other Great Lakes.
Reacting to the renaming, Nova Scotia Premier Tim Houston has said, "We're into some real foolishness now."
Family First customer Zachary McDaniel, interviewed by the television station, said he does not agree with Smith’s actions.
"We should stay up out of that, and just let it be what it be, you know?" he said.
Smith, meanwhile, has her own takeaways.
"I think the AI can be dangerous in the fact that it can make people think something's real that's not," Smith told the television station. "I would understand why they would be so angry.
"I am not a person that would ever want to offend or hurt anybody," she added. "I do regret having any post that would make someone feel like we don't value them as human beings.”