Spotting I-9 Document Fraud in the Age of AI | WorkBright

I-9 document fraud in the age of AI + how to spot fake I-9 documents

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 to spot document fraud, and 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.

Understanding the stakes

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

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.

How to spot document fraud: red flags to look for

Even without being a document expert, there are telltale signs that something might be wrong. ICE recommends watching for these indicators:

Physical document issues

Visible alterations or tampering: erased text, lifted laminate, cut-and-paste photos, or mismatched fonts
Missing or incorrect security features: holograms that don't shift when tilted, missing watermarks, or incorrect form numbers
Poor print quality: blurry text, pixelated images, or colors that look "off" compared to genuine documents
Wrong card stock: paper that feels too thin, too thick, or has the wrong texture

Information mismatches

Photo doesn't match the person: accounting for normal changes in appearance (hair, weight, aging), does the photo reasonably depict the individual in front of you?
Biographical inconsistencies: dates that don't make sense (issued before the person was born, expiration before issue date)
Wrong form numbers: green cards should show "I-551" (the letter I, not the number 1). Some counterfeits use "1-551" or random numbers.

Green card-specific red flags

Authentic green cards have an optically variable device (OVD)—a holographic image of the Statue of Liberty that appears over the bearer's photo and changes appearance when you tilt the card. On counterfeit cards, this image often remains static or appears as a faint, fixed outline.

Pro tip: If a document just "doesn't feel right" but you can't pinpoint why, you don't have to make a decision on the spot. Make a clear copy (front and back) and have a supervisor or immigration attorney review it before accepting or rejecting.

What to do when a document looks suspicious

Found something that doesn't look right? Here's exactly what to do—and what not to do.

Don't reject the document immediately. Your gut reaction might be correct, but snap decisions create legal exposure.
Make copies. Create clear copies of the front and back of the document in question. This protects you regardless of how the situation resolves.
Document your concerns. Document specifically what raised the red flag. Note concrete details like "hologram didn't change when tilted.”
Escalate for review. Have a supervisor, HR manager, or immigration attorney examine the document. A second set of eyes can either confirm your concerns or identify that the document is actually legitimate.
If you reject, give the employee another chance. This is critical. If you determine a document isn't acceptable, you must allow the employee to present a different valid document from the Lists of Acceptable Documents. Failure to do so could constitute an unfair documentary practice.
Apply this process consistently. Whatever protocol you follow must be the same for every employee, regardless of national origin, citizenship status, or any other protected characteristic.

Never do this: Don't demand specific documents, request "extra" documentation because you're suspicious, or apply more scrutiny to employees based on how they look, where they're from, or their accent. These actions violate anti-discrimination law.

Don't let fraud fears lead to discrimination

Here's the catch-22 employers face: accepting fraudulent documents creates liability, but rejecting valid documents or treating employees differently also creates liability. The Department of Justice's Immigrant and Employee Rights Section (IER) actively investigates and prosecutes employers for "unfair documentary practices."

What counts as an unfair documentary practice?

Requesting specific documents (like a green card or U.S. passport) instead of letting employees choose
Demanding more documents than required
Rejecting valid documents that reasonably appear genuine
Applying different standards based on citizenship status or national origin
Not giving employees the opportunity to present alternative documents when one is rejected

The bottom line: Your document review process must be identical for every employee. The U.S. citizen from Texas and the newly authorized worker from Guatemala get the exact same scrutiny—no more, no less.

Can you terminate for fraudulent documents?

Let's say you've done everything right—applied consistent scrutiny, escalated appropriately, and confirmed a document is fraudulent. Now what?

The answer depends on your company policies and how you apply them.

You can terminate an employee for presenting fraudulent documents if—and only if:

Your company has a written dishonesty or fraud policy that covers this situation
You would terminate any employee for similar dishonest conduct (regardless of their background)
You apply this policy consistently across your workforce

If you don't have such a policy—or wouldn't apply it equally to everyone—termination for document fraud alone becomes risky.

What if the employee admits the documents were fake?

Even with an admission, you should still give the employee the opportunity to present different, valid documents. If they can't produce acceptable documents, you may not be able to continue their employment—but that's because they can't establish work authorization, not because of the initial fraud.

Consult legal counsel: Termination decisions involving document fraud are high-stakes. Before taking action, consult with an employment attorney or immigration specialist to ensure you're on solid legal ground.Verifying the Authenticity of Documents from Various Authorities

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 I-9 offerings.

With industry-leading verification features, you get advanced screening capabilities that scan 95% 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.

References

A driver's license can be issued by any state or territory of the United States (including the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands) or by a Canadian government authority. - https://www.uscis.gov/i-9-central/form-i-9-acceptable-documents
Some states may place restrictive notations on their licenses. For Form I-9 purposes, you may accept these licenses. - https://www.uscis.gov/i-9-central/form-i-9-resources/handbook-for-employers-m-274/130-acceptable-documents-for-verifying-employment-authorization-and-identity
All employers must complete and retain Form I-9, Employment Eligibility Verification, for every person they hire for employment after Nov. 6, 1986, in the U.S. as long as the person works for pay or other type of payment. - https://www.uscis.gov/i-9-central/completing-form-i-9
You are not required to be a document expert. You must accept documents that reasonably appear to be genuine and relate to the person presenting them. - https://www.uscis.gov/i-9-central/form-i-9-acceptable-documents/examining-documents
Some Social Security cards have restrictions on them and do not satisfy the I-9 requirements. If that is the case, the faculty, staff, or student worker must show other documents to comply with the requirements. - https://hr.umn.edu/HR-Community/I-9-Employee-Eligibility-Verification/Reviewing-and-Verifying-I-9-Documents
The U.S. Department of State issues the U.S. passport to U.S. citizens and noncitizen nationals. The passport card is a wallet-size card that can only be used for land and sea travel between the United States and Canada, Mexico, the Caribbean, and Bermuda. - https://www.uscis.gov/i-9-central/form-i-9-resources/handbook-for-employers-m-274/130-acceptable-documents-for-verifying-employment-authorization-and-identity/131-list-a-documents-that-establish-identity-and-employment-authorization
1. FSM Passport with Form I-941. RMI Passport with Form I-94 - https://www.uscis.gov/i-9-central/form-i-9-resources/handbook-for-employers-m-274/appendix-a-common-abbreviations-for-document-entry-in-section-2
Some aliens in certain employment eligibility categories who timely file Form I-765, Application for Employment Authorization, to renew their employment authorization and/or EADs may receive automatic extensions of their employment authorization and/or EADs for up to 540 days while their renewal applications remain pending. - https://www.uscis.gov/i-9-central/form-i-9-resources/handbook-for-employers-m-274/50-automatic-extensions-of-employment-authorization-andor-employment-authorization-documents-eads-in/51-automatic-extensions-based-on-a-timely-filed-application-to-renew-employment-authorization
Within three business days of the date employment begins, you or your authorized representative must complete Section 2 by examining original, acceptable, and unexpired documentation, or an acceptable receipt - https://www.uscis.gov/i-9-central/form-i-9-resources/handbook-for-employers-m-274/40-completing-section-2-employer-review-and-verification
If you filed Form I-765, Application for Employment Authorization, to renew your expiring Employment Authorization Document (EAD), you may qualify for an up to 540-day automatic extension of the expiration date printed on your EAD while your application is pending. - https://www.uscis.gov/eadautoextend
Eligible employees with EADs that contain certain category codes are generally eligible for an automatic extension of their employment authorization and/or EADs for up to 540 days from the "Card Expires" date on the face of the EAD. - https://www.uscis.gov/i-9-central/form-i-9-resources/handbook-for-employers-m-274/50-automatic-extensions-of-employment-authorization-andor-employment-authorization-documents-eads-in
DHS will automatically extend EADs (Form I-766) for employees with certain EAD category codes who timely file to renew their EAD. - https://www.uscis.gov/i-9-central/form-i-9-acceptable-documents/employment-authorization-extensions
DHS may extend the expiration date of a TPS beneficiary's EAD either by Federal Register notice or an individual notice mailed to the beneficiary... FRNs announcing TPS actions generally include an automatic extension of the expiration date of all associated TPS EADs that contain a specific "Card Expires" date and a category code of A12 or C19. - https://www.uscis.gov/i-9-central/form-i-9-resources/handbook-for-employers-m-274/50-automatic-extensions-of-employment-authorization-andor-employment-authorization-documents-eads-in/53-automatic-ead-extensions-for-temporary-protected-status-tps-beneficiaries
While TPS beneficiaries are authorized to work as long as they maintain TPS, they are not required to get an EAD; however, they do need to provide acceptable evidence of identity and work authorization for Form I-9 purposes like all new employees... Employees do not have to provide proof they are a national of a country that has been designated for TPS or DED when completing Form I-9 - https://www.uscis.gov/i-9-central/completing-form-i-9/temporary-protected-status-and-deferred-enforced-departure
List A Documents– establish both identity and employment authorization. Some List A documents (or acceptable document receipt) are combination of documents that must be presented together to be considered a List A document - https://in.nau.edu/human-resources/payroll/hire-xpress/form-i-9-section-2/
If the document that the employee chooses to present consists of a combination of documents (e.g., foreign passport with Form I-94 indicating the employee's nonimmigrant classification that is work authorized incident to status for a specific employer), then all documents must be recorded in Supplement B, Reverification and Rehire section. - https://www.uscis.gov/i-9-central/form-i-9-resources/questions-and-answers
If you discover an error or missing information in Section 1 of an employee's Form I-9, you should ask the employee to correct the error or add the missing information. Only employees, or their preparer and/or translator, may correct errors or omissions made in Section 1... If you make any changes on the form, do NOT conceal them by, for example, erasing text or using correction fluid. Doing so may lead to increased liability under federal immigration law. - https://www.uscis.gov/i-9-central/form-i-9-resources/handbook-for-employers-m-274/90-correcting-errors-or-missing-information-on-form-i-9
When E-Verify displays a mismatch case result, the employer must first notify the employee and complete the referral process as soon as possible within 10 federal government working days after E-Verify issues the mismatch result... The employee must be allowed to continue working while he or she resolves the mismatch. In addition, an employer may not take any adverse actions, such as delaying training or reducing work hours, against an employee because of a mismatch while the case status is an Employee referred to DHS or SSA. - https://www.e-verify.gov/employers/verification-process/tentative-nonconfirmations/dhs-and-ssa-mismatches
Within three business days of the date employment begins, you or your authorized representative must complete Section 2 by examining original, acceptable, and unexpired documentation, or an acceptable receipt, the employee presents (see Table 1: Special Form I-9 Situations) to determine if it reasonably appears to be genuine and relates to the person presenting it. - https://www.uscis.gov/book/export/html/59502
For those enrolled in E-Verify, live video verification is an option if qualifying for the alternative procedure - https://workbright.com/blog/i-9-document-verification-compliance-a-complete-guide-to-legal-hiring-standards/
The employer must reverify that the foreign national is authorized to work beyond the original expiration date by examining new work authorization documents - https://www.shrm.org/topics-tools/employment-law-compliance/top-10-mistakes-handling-9-forms
Smart screens and drop-down menus in the software provide enhanced decision-making support... I can pull up a report in my office on who we hired across all stores and whether we have their completed I-9s yet - https://www.shrm.org/topics-tools/news/hr-magazine/automating-9-verification
If you participate in E-Verify in good standing, you are qualified to remotely examine your employee's documentation using a DHS-authorized alternative procedure at your E-Verify hiring sites - https://www.uscis.gov/i-9-central/remote-examination-of-documents

WorkBrightRadically simple form verification

HR compliance is complex—but it doesn’t have to be. WorkBright’s modern software and services streamline I-9s, E-Verify, and form management, while keeping your team audit-ready and aligned with ever-changing regulations. Take the guesswork out of compliance so you can focus on what matters most—your people.