Nicolai Haugsted
Michigan CEO faces brutal consequences after “Lake America” post spreads far beyond her private Facebook page.
A joke about Donald Trump’s latest geographical rebranding has ended with considerably more than a few angry comments on Facebook.
Jane Smith is no longer the CEO of Family First Credit Union in Michigan after an AI-altered family photo sparked backlash across the border in Canada.
The picture appeared to show Smith and relatives wearing matching “Lake America” sweatshirts while travelling to Halifax. No such sweatshirts actually existed, according to Smith, who said artificial intelligence had been used to alter a photograph taken at Detroit Metropolitan Airport.
Smith intended the image as a joke about Trump’s decision to order US federal agencies to call Lake Ontario “Lake America.”
Canada was not particularly amused.
Family First Credit Union has now announced that Smith is no longer employed by the organization, while apologizing to members and the wider community over the controversy.
A joke before crossing the border
Smith and three family members were preparing to travel to Halifax on September 11 when they posed for the original photograph.
Artificial intelligence was subsequently used to make it appear as though all four were wearing “Lake America” clothing.
Smith posted the altered picture to her private Facebook account with the message: “Like our sweatshirts? Not sure Canada will.”
“Lol lol” followed.
Smith later said her original post included an AI-generated-content label. According to her account, a relative subsequently shared the image publicly without that label, helping create the impression that the family had actually travelled to Canada wearing the provocative sweatshirts.
The timing made matters worse.
September 11 marked the 25th anniversary of the terrorist attacks in the United States. Halifax and other communities across Atlantic Canada took in thousands of airline passengers stranded when US airspace was shut down after the attacks.
Critics consequently viewed the post as particularly insensitive.
Smith says politics was not the intention
Backlash quickly spread online, eventually forcing Smith to explain what had happened.
“We weren’t trying to make a political statement,” she told WJRT.
“However, we were, you know, kind of poking fun” at the renaming of one of the Great Lakes.
Smith also acknowledged why Canadians could have interpreted the picture very differently.
“I understand if I was someone in Halifax and I thought a poor group of people walked in wearing those sweatshirts, it is highly offensive and I would understand why they would be so angry,” she said.
“I am not a person that would ever want to offend or hurt anybody.”
Her apology went further.
“I do regret having any post that would make someone feel like we don’t value them as human beings.”
Smith also said the backlash included death threats and prompted her family to cut its Canadian vacation short.
Her employer eventually makes its decision
Family First initially said it was reviewing the controversy.
Days later, the Saginaw-based credit union announced a leadership change.
“Jane Smith is no longer employed by Family First Credit Union, effective immediately,” the organization said.
Neither Smith nor Family First publicly clarified whether she resigned or was dismissed, meaning reports that she was explicitly “fired” go beyond what has been confirmed.
Chief operating officer Jason Acosta was named interim CEO.
“We sincerely apologize for the concern, disappointment and pain this situation has caused our members and community,” the credit union said.
“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.”
A joke created with AI had effectively become a real-world leadership crisis.
Smith’s post borrowed directly from a much larger dispute between Washington and Ottawa.
Trump signed an executive order on August 27 directing the US government to replace “Lake Ontario” with “Lake America” in federal references, maps and documents.
The order instructed the Interior Department and Board on Geographic Names to implement the change throughout the federal government.
Trump’s decision does not require Canada or international organizations to adopt the new terminology.
