Research Papers

We present the first application of federated learning (FL) to the U.S. National Financial Capability Study, introducing an interpretable framework for predicting consumer financial distress across all 50 states and the District of Columbia without centralizing sensitive data. Our cross-silo FL setup treats each state as a distinct data silo, simulating real-world governance in nationwide financial systems. Unlike prior work, our approach integrates two complementary explainable AI techniques to identify both global (nationwide) and local (state-specific) predictors of financial hardship, such as contact from debt collection agencies. We develop a machine learning model specifically suited for highly categorical, imbalanced survey data. This work delivers a scalable, regulation-compliant blueprint for early warning systems in finance, demonstrating how FL can power socially responsible AI applications in consumer credit risk and financial inclusion.

Explainability is critical for the clinical adoption of medical visual question answering (VQA) systems, as physicians require transparent reasoning to trust AI-generated diagnoses. We present MedXplain-VQA, a comprehensive framework integrating five explainable AI components to deliver interpretable medical image analysis. The framework leverages a fine-tuned BLIP-2 backbone, medical query reformulation, enhanced Grad-CAM attention, precise region extraction, and structured chain-of-thought reasoning via multi-modal language models. To evaluate the system, we introduce a medical-domain-specific framework replacing traditional NLP metrics with clinically relevant assessments, including terminology coverage, clinical structure quality, and attention region relevance. Experiments on 500 PathVQA histopathology samples demonstrate substantial improvements, with the enhanced system achieving a composite score of 0.683 compared to 0.378 for baseline methods, while maintaining high reasoning confidence (0.890). Our system identifies 3-5 diagnostically relevant regions per sample and generates structured explanations averaging 57 words with appropriate clinical terminology. Ablation studies reveal that query reformulation provides the most significant initial improvement, while chain-of-thought reasoning enables systematic diagnostic processes. These findings underscore the potential of MedXplain-VQA as a robust, explainable medical VQA system. Future work will focus on validation with medical experts and large-scale clinical datasets to ensure clinical readiness.

Artificial intelligence (AI) is increasingly embedded in NHS workflows, but its probabilistic and adaptive behaviour conflicts with the deterministic assumptions underpinning existing clinical-safety standards. DCB0129 and DCB0160 provide strong governance for conventional software yet do not define how AI-specific transparency, interpretability, or model drift should be evidenced within Safety Cases, Hazard Logs, or post-market monitoring. This paper proposes an Explainability-Enabled Clinical Safety Framework (ECSF) that integrates explainability into the DCB0129/0160 lifecycle, enabling Clinical Safety Officers to use interpretability outputs as structured safety evidence without altering compliance pathways. A cross-regulatory synthesis mapped DCB clauses to principles from Good Machine Learning Practice, the NHS AI Assurance and T.E.S.T. frameworks, and the EU AI Act. The resulting matrix links regulatory clauses, principles, ECSF checkpoints, and suitable explainability outputs. ECSF introduces five checkpoints: global transparency for hazard identification, case-level interpretability for verification, clinician usability for evaluation, traceable decision pathways for risk control, and longitudinal interpretability monitoring for post-market surveillance. Techniques such as SHAP, LIME, Integrated Gradients, saliency mapping, and attention visualisation are mapped to corresponding DCB artefacts. ECSF reframes explainability as a core element of clinical-safety assurance, bridging deterministic risk governance with the probabilistic behaviour of AI and supporting alignment with GMLP, the EU AI Act, and NHS AI Assurance principles.

We present HCLA, a human-centered multi-agent system for anomaly detection in digital-asset transactions. The system integrates three cognitively aligned roles: Rule Abstraction, Evidence Scoring, and Expert-Style Justification. These roles operate in a conversational workflow that enables non-experts to express analytical intent in natural language, inspect structured risk evidence, and obtain traceable, context-aware reasoning. Implemented with an open-source, web-based interface, HCLA translates user intent into explicit analytical rules, applies classical anomaly detectors to quantify evidential risk, and reconstructs expert-style justifications grounded in observable transactional signals. Experiments on a cryptocurrency anomaly dataset show that, while the underlying detector achieves strong predictive accuracy, HCLA substantially improves interpretability, interaction, and decision transparency. Importantly, HCLA is not designed to explain a black-box model in the conventional XAI sense. Instead, we reconstruct a traceable expert reasoning process that aligns algorithmic evidence with regulatory and investigative judgment. By explicitly separating evidence scoring from expert-style justification, the framework emphasizes accountability beyond explainability and addresses practical requirements for regulatory, audit, and compliance-driven financial forensics. We describe the system architecture, closed-loop interaction design, datasets, evaluation protocol, and limitations. We argue that a human-in-the-loop reasoning reconstruction paradigm is essential for achieving transparency, accountability, and trust in high-stakes financial environments. Keywords: Human-Centered AI; LLM-Agent System; Multi-Agent Architecture; Anomaly Detection; Digital Asset Transactions; Cryptocurrency Forensics; Blockchain Analytics; Human-in-the-Loop; Explainable AI (XAI); Interpretability

Towards the Formalization of a Trustworthy AI for Mining Interpretable Models explOiting Sophisticated Algorithms

Riccardo Guidotti, Martina Cinquini, Marta Marchiori Manerba +2

Interpretable-by-design models are crucial for fostering trust, accountability, and safe adoption of automated decision-making models in real-world applications. In this paper we formalize the ground for the MIMOSA (Mining Interpretable Models explOiting Sophisticated Algorithms) framework, a comprehensive methodology for generating predictive models that balance interpretability with performance while embedding key ethical properties. We formally define here the supervised learning setting across diverse decision-making tasks and data types, including tabular data, time series, images, text, transactions, and trajectories. We characterize three major families of interpretable models: feature importance, rule, and instance based models. For each family, we analyze their interpretability dimensions, reasoning mechanisms, and complexity. Beyond interpretability, we formalize three critical ethical properties, namely causality, fairness, and privacy, providing formal definitions, evaluation metrics, and verification procedures for each. We then examine the inherent trade-offs between these properties and discuss how privacy requirements, fairness constraints, and causal reasoning can be embedded within interpretable pipelines. By evaluating ethical measures during model generation, this framework establishes the theoretical foundations for developing AI systems that are not only accurate and interpretable but also fair, privacy-preserving, and causally aware, i.e., trustworthy.

AI systems have the potential to produce both benefits and harms, but without rigorous and ongoing adversarial evaluation, AI actors will struggle to assess the breadth and magnitude of the AI risk surface. Researchers from the field of systems design have developed several effective sociotechnical AI evaluation and red teaming techniques targeting bias, hate speech, mis/disinformation, and other documented harm classes. However, as increasingly sophisticated AI systems are released into high-stakes sectors (such as education, healthcare, and intelligence-gathering), our current evaluation and monitoring methods are proving less and less capable of delivering effective oversight. In order to actually deliver responsible AI and to ensure AI's harms are fully understood and its security vulnerabilities mitigated, pioneering new approaches to close this "responsibility gap" are now more urgent than ever. In this paper, we propose one such approach, the cooperative public AI red-teaming exercise, and discuss early results of its prior pilot implementations. This approach is intertwined with CAMLIS itself: the first in-person public demonstrator exercise was held in conjunction with CAMLIS 2024. We review the operational design and results of this exercise, the prior National Institute of Standards and Technology (NIST)'s Assessing the Risks and Impacts of AI (ARIA) pilot exercise, and another similar exercise conducted with the Singapore Infocomm Media Development Authority (IMDA). Ultimately, we argue that this approach is both capable of delivering meaningful results and is also scalable to many AI developing jurisdictions.

Modal Aphasia: Can Unified Multimodal Models Describe Images From Memory?

Michael Aerni, Joshua Swanson, Kristina Nikolić +1

We present modal aphasia, a systematic dissociation in which current unified multimodal models accurately memorize concepts visually but fail to articulate them in writing, despite being trained on images and text simultaneously. For one, we show that leading frontier models can generate near-perfect reproductions of iconic movie artwork, but confuse crucial details when asked for textual descriptions. We corroborate those findings through controlled experiments on synthetic datasets in multiple architectures. Our experiments confirm that modal aphasia reliably emerges as a fundamental property of current unified multimodal models, not just as a training artifact. In practice, modal aphasia can introduce vulnerabilities in AI safety frameworks, as safeguards applied to one modality may leave harmful concepts accessible in other modalities. We demonstrate this risk by showing how a model aligned solely on text remains capable of generating unsafe images.

FST.ai 2.0: An Explainable AI Ecosystem for Fair, Fast, and Inclusive Decision-Making in Olympic and Paralympic Taekwondo

Keivan Shariatmadar, Ahmad Osman, Ramin Ray +1

Fair, transparent, and explainable decision-making remains a critical challenge in Olympic and Paralympic combat sports. This paper presents \emph{FST.ai 2.0}, an explainable AI ecosystem designed to support referees, coaches, and athletes in real time during Taekwondo competitions and training. The system integrates {pose-based action recognition} using graph convolutional networks (GCNs), {epistemic uncertainty modeling} through credal sets, and {explainability overlays} for visual decision support. A set of {interactive dashboards} enables human--AI collaboration in referee evaluation, athlete performance analysis, and Para-Taekwondo classification. Beyond automated scoring, FST.ai~2.0 incorporates modules for referee training, fairness monitoring, and policy-level analytics within the World Taekwondo ecosystem. Experimental validation on competition data demonstrates an {85\% reduction in decision review time} and {93\% referee trust} in AI-assisted decisions. The framework thus establishes a transparent and extensible pipeline for trustworthy, data-driven officiating and athlete assessment. By bridging real-time perception, explainable inference, and governance-aware design, FST.ai~2.0 represents a step toward equitable, accountable, and human-aligned AI in sports.

As AI systems enter high-stakes domains, evaluation must extend beyond predictive accuracy to include explainability, fairness, robustness, and sustainability. We introduce RAISE (Responsible AI Scoring and Evaluation), a unified framework that quantifies model performance across these four dimensions and aggregates them into a single, holistic Responsibility Score. We evaluated three deep learning models: a Multilayer Perceptron (MLP), a Tabular ResNet, and a Feature Tokenizer Transformer, on structured datasets from finance, healthcare, and socioeconomics. Our findings reveal critical trade-offs: the MLP demonstrated strong sustainability and robustness, the Transformer excelled in explainability and fairness at a very high environmental cost, and the Tabular ResNet offered a balanced profile. These results underscore that no single model dominates across all responsibility criteria, highlighting the necessity of multi-dimensional evaluation for responsible model selection. Our implementation is available at: https://github.com/raise-framework/raise.

Financial anomalies arise from heterogeneous mechanisms - price shocks, liquidity freezes, contagion cascades, and momentum reversals - yet existing detectors produce uniform anomaly scores without revealing which mechanism is failing or where risks concentrate. This hinders targeted responses: liquidity freezes call for market-making support, whereas price shocks from information asymmetry call for circuit breakers. Three key challenges remain unresolved: (1) static graph structures cannot adapt when correlations shift across regimes; (2) uniform detectors overlook heterogeneous anomaly signatures; and (3) black-box scores provide no actionable guidance on which mechanism drives the anomaly. We address these challenges with an adaptive graph learning framework that embeds interpretability architecturally rather than post hoc. The framework constructs stress-modulated graphs that adaptively interpolate between known sector and geographic relationships and data-driven correlations as market conditions evolve. Anomalies are decomposed via four mechanism-specific experts - Price-Shock, Liquidity, Systemic-Contagion, and Momentum-Reversal - whose routing weights serve as interpretable proxies for mechanism attribution. A hierarchical Market Pressure Index aggregates entity-level anomaly scores into graduated market-wide alerts. On 100 U.S. equities (2017-2024), the framework detects all six major market stress events with a 3.7-day mean lead time, outperforming the strongest baselines by +33 percentage points in detection rate (AUC 0.888, AP 0.626). Case studies on the SVB collapse (March 2023) and Japan carry-trade unwind (August 2024) demonstrate that routing weights automatically distinguish localized sector-specific crises from systemic multi-sector propagation - without labeled supervision.

This paper presents a novel methodology that integrates trustworthy artificial intelligence (AI) with an energy-efficient robotic arm for intelligent waste classification and sorting. By utilizing a convolutional neural network (CNN) enhanced through transfer learning with MobileNetV2, the system accurately classifies waste into six categories: plastic, glass, metal, paper, cardboard, and trash. The model achieved a high training accuracy of 99.8% and a validation accuracy of 80.5%, demonstrating strong learning and generalization. A robotic arm simulator is implemented to perform virtual sorting, calculating the energy cost for each action using Euclidean distance to ensure optimal and efficient movement. The framework incorporates key elements of trustworthy AI, such as transparency, robustness, fairness, and safety, making it a reliable and scalable solution for smart waste management systems in urban settings.

Non-Functional Requirements (NFRs) play a critical role in determining the overall quality and user satisfaction of software systems. Accurately identifying and classifying NFRs is essential to ensure that software meets performance, usability, and reliability expectations. However, manual identification of NFRs from documentation is time-consuming and prone to errors, necessitating automated solutions. Before implementing any automated solution, a robust and comprehensive dataset is essential. To build such a dataset, we collected NFRs from various Project Charters and Open Source Software Documentation. This enhanced the technical depth and usability of an already existing NFR dataset. We categorized NFRs into sub-classes and identified needs using widely used Large Language Models to facilitate automation. After classifying the NFRs, we compared the classification results of the selected LLMs: RoBERTa, CodeBERT, Gemma-2, Phi-3, Mistral-8B, and Llama-3.1-8B using various evaluation metrics, including precision, recall, F1-score, and lime scores. Among these models, Gemma-2 achieved the best results with a precision of 0.87, recall of 0.89, and F1-score of 0.88, alongside a lime hit score of 78 out of 80. Phi-3 closely followed with a precision of 0.85, recall of 0.87, F1-score of 0.86, and the highest lime hit score of 79. By improving the contextual foundation, this integration enhanced the model's comprehension of technical aspects and user requirements.