Continuity mistake: When Dylan is on the boat with Walter and Tressler, there is a bloody cut on his bottom lip, but when he is rescued by the Horsemen minutes later, the bloody cut has suddenly vanished. The cut reappears when Dylan and the Horsemen are talking in the next scene. (01:15:05 - 01:22:15)
Continuity mistake: When Jack is performing in London, there is a woman directly in front of him, recording him on her phone. In one shot, she has her left hand across the left side of the phone and is holding it, but in the next shot, she is only holding the left side with only two fingers. (01:29:20)
Continuity mistake: When the Horsemen are escaping the OCTA party, Merritt starts accusing Daniel of being the lead Horseman and removes the microphone headset he is wearing. The shot then cuts to an angle behind Merritt, and the microphone headset is suddenly back on his head. (00:25:40)
Continuity mistake: After arriving at the Macau casino, Chase starts teasing Merritt and Merritt then gives Chase the finger by rubbing his eyes with his middle finger. Merritt then begins to lower his arms, but in the next shot, his arms are suddenly by his side. (00:33:10)
Continuity mistake: When the Horsemen first see Walter Mabry, he is shown flicking a card between hands. Just before the camera cuts to a closer shot of him, he is seen with his head facing the window, but when the camera cuts to the closer shot, he is suddenly looking at the card. (00:34:15)
Continuity mistake: When Merritt and Chase are talking at the bar, they are sitting side by side facing the bar, but when the shot changes, they are suddenly turned 90° to face each other. (00:48:30)
Continuity mistake: When Dylan meets up with Daniel in Macau, Daniel tells him he cannot be seen with him. Daniel's hands are by his side, but in the next shot, he is suddenly has one hand on his ear. (01:08:55)
Continuity mistake: The analogue clock on the wall in Thaddeus' prison cell goes back in time by 5 minutes from 7:57 to 7:52. (00:42:10)
Continuity mistake: When Atlas walks in to the Octa phone launch disguised as a waiter he has a silver tray. Someone rearranges something on it as he walks down the corridor and it is plainly a silver tray. He walks through after the rearrangement and the next shot there is a briefcase visible under the tray. The tray is supposed to be a tray that becomes a briefcase but is too thin to do that. When first seen there is no space for the briefcase part to be closed up against the tray. (00:16:55)
Continuity mistake: In the first movie, when Dylan and Alma first meet up with Thaddeus Bradley for lunch, he mentions that Lionel Shrike was a magician in the 1970s and one year later, attempted the safe in the river trick that killed him, but in the opening scene of this movie, it is shown that the safe in the river trick that killed Lionel Shrike took place in 1984. (00:00:35)
Continuity mistake: When Dylan is showing the FBI director and Cowan the photo of who may be Merritt McKinney, he is standing next to the director turned to the right, but in the next shot, the two are suddenly directly facing each other. (00:08:15)
Continuity mistake: When Dylan is showing the FBI director and Cowan the photos of the Horsemen, just as the FBI director asks what it all means, she is looking at Dylan, but in the next shot, she is suddenly looking at the photos. (00:08:50)
Continuity mistake: When Merritt fails to throw the card, Jack says "it's good to be positive despite having made zero progress in a year" whilst looking at Merritt. In the next shot, Jack's head is suddenly turned about 90°. (00:12:50)
Continuity mistake: The banana that Jack takes from the woman at the metal detector when he is posing as a security guard at the OCTA launch is different to the one he plants in the CCTV guard's pocket a few minutes later. (00:16:25 - 00:18:30)
Continuity mistake: When Walter begins hijacking the Horsemen at the OCTA launch, Dylan says "let's go to the back", and the FBI director tells him to stay here. There is a bald FBI agent standing in front of him to the right, but in the next shot, the FBI agent is suddenly behind him. (00:24:15)
Continuity mistake: When the Horsemen land inside the baskets in the Chinese restaurant, in the shot focusing on Merritt, Daniel is seen beginning to stand up, but in the next shot, he is suddenly lying back in the basket. (00:26:10)
Continuity mistake: When Walter is explaining his plan, after telling Merritt they may not be having fun but he is, Walter begins to walk away from the Horsemen, but in the next shot, is suddenly standing several meters from them. (00:36:30)
Continuity mistake: When Lula is showing Jack the belt that she pick-pocketed, she is holding the belt with the buckle dangling at the bottom, but in the next shot, the belt is suddenly being held by the buckle. (00:47:30)
Continuity mistake: When Merritt and Chase leave the magic shop to go for a drink, Jack has his hand placed on top of a reverse rain machine. The shot then cuts to a closer angle of the reverse rain machine where his hand is no longer on top of it. (00:45:20)
Continuity mistake: When Walter finds out about the Horsemen's plan to expose him on New Years Eve, Walter tells a bodyguard to get his father. The bodyguard begins to walk past Walter, but in the next shot, the bodyguard is suddenly at the other end of the room. (01:27:05)
Answer: The only ones who knew the chip was fake were the Horsemen, no one else did. Walter did not know the chip was fake. The plan was to convince Walter that the chip was real so that they could lure him out of hiding with Walter attempting to kidnap and later kill them, and expose Walter to the public in doing so. They told the crowd after exposing Walter about the chip, because while it was a fake, they still had plans with it assuming it was real. If by "alert the FBI", you were referring to when Dylan gave the FBI director the evidence on Walter and Tressler, that was not the chip he gave to her, that was a hard drive containing all of Walter and Tressler's past dealings.
Casual Person