I-9 Document fraud in the age of AI: What companies need to know

When Steven Spielberg’s 2002 film Catch Me If You Can hit the screens, it captivated audiences with its portrayal of Frank Abagnale—a master forger who outwitted authorities by impersonating a doctor, lawyer, and pilot. 

In the movie, Abagnale's ability to forge identities points to a top-of-mind issue for today's companies—the risk of accepting fraudulent documents. 

The stakes are increasing with emerging technologies like AI, and the repercussions of fraud can be severe—from legal penalties to affecting a company’s reputation, operations, and bottom line. 

Fortunately, there’s a happy ending: Advances in technology offer a powerful solution to I-9 document verification challenges. Read on to learn how new technology advances compliance checks during the I-9 process. 

What recent data tells us 

As AI advances, companies must stay vigilant in strengthening compliance procedures, particularly when verifying identification documents during the I-9 process. 

Recent findings from Socure underscore the gravity of the situation: the Document and Biometric Identity Fraud Report revealed that "document image-of-image" was the most common method of fraud, accounting for 63% of rejected IDs. 

Additionally, Forbes highlighted that financial losses due to fraudulent identities surged to $3.1 billion in 2023—a staggering 63% increase since 2020—making risk mitigation an urgent concern, particularly for companies that hire in large volumes. 

The rise in fraud is being closely monitored by the U.S. Citizenship and Immigration Services (USCIS), which issued a public alert highlighting a significant increase in fraudulent activities related to Form I-9 in 2023, particularly concerning counterfeit and altered identification documents. 

In response, USCIS has mandated that employers complete training on identifying fraudulent documents. To reinforce compliance, DHS will increase monitoring efforts, including more frequent ICE I-9 audits focused on detecting errors and fraud. 

For companies, this means the need for reliable, compliant verification processes is at an all-time high. 

Understanding the stakes 

What happens when companies don’t meet compliance requirements? A real-life example is Speed Fab Crete, a construction company based in North Texas, which agreed to pay $3 million to the U.S. Treasury after an investigation uncovered that it had illegally employed individuals unauthorized to work in the U.S. Their staffing agency, Take Charge Staffing, also plead guilty and faces potential prison sentences. 

As the Speed Fab Crete case illustrates, accepting fraudulent documents can lead to dire, long-lasting consequences, including: 

• Legal penalties: Companies are subject to scrutiny from DHS and USCIS, and accepting fraudulent documents can result in significant fines, especially if deemed intentional.
• Audit risks: An audit by Immigration and Customs Enforcement (ICE) can reveal fraudulent document acceptance, leading to further penalties and an extensive review of employment practices.
• Reputational damage: Trust is essential in business. Being associated with accepting fake documents can severely damage a company’s reputation, affecting client trust and future opportunities.
• Operational disruptions: Hiring individuals with fraudulent documentation can lead to workforce disruptions, costly terminations, and delays in finding replacements.
• Compliance costs: Addressing errors related to fraudulent documents incurs expenses, including additional training for HR staff and new verification processes, as well as potential legal fees.

The complexity of document fraud in the age of AI 

Artificial intelligence is increasingly being exploited for document fraud, with low-cost, user-friendly AI tools enabling anyone to create convincing fake documents online. In just five to ten minutes, anyone can generate counterfeit state IDs or passports using readily available images from social media.

The complexity of the I-9 verification process compounds the problem. With hundreds of acceptable documents that can be submitted, distinguishing between valid and fraudulent paperwork becomes a daunting task. Even Homeland Security Investigations (HSI) has acknowledged that identifying fraudulent documents is nearly impossible.

This situation presents several challenges:

• Training difficulties: The vast array of acceptable documents makes it nearly impossible to train staff comprehensively on detecting fraud.
• Human error: Even with comprehensive training, the potential for mistakes remains, putting organizations at risk.
• Scaling onboarding: Balancing efficient onboarding processes with compliance can be a significant hurdle.

Fortunately, there is a solution to mitigate liability without slowing down operations: advanced document screening technology. 

Advanced screening technology

As fraud tactics evolve, so does the technology used to combat them. Companies no longer have to rely on extensive staff training or notary services; they can use sophisticated verification tools that ensure documents appear authentic and compliant.

In line with our mission at WorkBright to be a leader in I-9 technology and compliance, we’re thrilled to introduce an industry-first: Our Document Verification tool as an add-on to our Smart I-9 offerings.

With industry-leading verification features, you get advanced screening capabilities that scan 99% of submitted documents for accuracy and authenticity—taking the administrative burden off of companies while increasing compliance.

For companies that hire in high volumes, this makes all the difference. Not only can the I-9 process be completed in ten minutes or less, you can feel confident in a compliant process along the way. 

Key benefits of I-9 Document Verification

• Increased efficiency: Our automated systems streamline the verification process, helping companies meet compliance deadlines quickly. This leads to faster candidate placements, happier clients, and a competitive edge.
• Greater accuracy: Using advanced technology, Document Verification boosts the precision of document checks, significantly lowering the chance of errors. This means companies can reduce liability and feel confident in their hiring decisions. 
• Reduced burden: With our tech, remote I-9 document verification becomes a breeze. No more hassle of coordinating in-person appointments—candidates can complete their documentation from anywhere, making life easier for both in-house teams and new hires. 

Stay ahead of the curve: Watch our webinar

As Catch Me If You Can shows us, the line between reality and deception can be razor-thin. But with the right tools and a commitment to compliance, businesses can navigate this tricky landscape confidently and with integrity. Stay informed by watching our on-demand webinar, Protect Your Business From I-9 Employment Fraud. In this session, leading Immigration Attorney, Kim Best Robidoux, and CEO of WorkBright, Chapelle Ryon, will discuss strategies for protecting your company from I-9 fraud in the age of AI. You'll also see a demonstration of Document Verification after the presentation. Watch it on-demand here.