Its not an issue to have an exposed airfilter but it is an issue to have no filter at all - this is to do with emissions more than anything else.
There are no regulations (In NSW at least) that stop CAI other than they must not degrade the emission spec of the original vehicle.
So unless its in the inside original airbox ANY inspection station will spot a CAI inc the gruppe m - they are not really that stealth when it shouts - LOOK AT ME, I AM CARBON FIBRE!!!
So the issue would be more a warranty / manufacturer voided issue not a legality issue I feel unless you are being silly and the cops decide to be annoying and try to defect it by checking your vehicle over.
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