Do we have any evidence that these lawsuits have no effect on the number of wrongdoings?

It's not an AI error. The face recognition AI simply said that it's a "potential match", which is correct. It's the humans' job to confirm that a potential match is in fact a match, especially when the suspect is 1,900 kms away.

After a couple million dollar lawsuits the city or state will learn to be more careful with their methods. It's the taxpayer funds, but it's not an endless supply of money. Cities and states have their own budgets.

True, and they were right about it when they said that. They wouldn't be right anymore, because the Internet has evolved. The same might happen to LLMs, but currently one would be right to call LLM output "slop".

My understanding is that the aim was not to disrupt the supply chain but to harm the company itself.