Panama National Assembly discusses AI misuse penalties

The Government Commission of the National Assembly of Panama has agreed to discuss a draft law aimed at penalizing the misuse of Artificial Intelligence (AI) to damage personal reputations. The proposal, introduced by Deputy Dana Castañeda, seeks prison sentences of 3 to 6 years for individuals who use AI tools—such as voice cloning or visual generation—to create and spread false content without consent.

Under the proposal, penalties could increase to 7 years of imprisonment if the content is used for profit on social media or if it targets vulnerable groups, including minors and the elderly. The initiative aims to address a legal gap regarding digital disinformation and the use of platforms like Eleven Labs or Hey Gen for malicious purposes.

During the discussions, Deputy Luis Eduardo Camacho supported the initiative, advocating for the criminalization of slander and libel to protect honor, arguing that civil financial compensations are insufficient to repair reputational damage. Camacho also raised concerns regarding the existence of 'bot farms' and call centers within the legislative palace, alleging that public funds are being used to operate coordinated digital attacks against political figures.