Feds Dismantle Global Fake ID Marketplace Used by Cybercriminals

Albuquerque –

The U.S. Attorney’s Office for the District of New Mexico announced today that authorities seized two marketplace domains and a blog used to sell fraudulent identity documents to cybercriminals around the world. Operators of VerifTools created and sold counterfeit driver’s licenses, passports, and other IDs designed to bypass identity verification systems and illegally access online accounts.

In August of 2022, the Federal Bureau of Investigation (FBI) launched its investigation after uncovering a conspiracy involving the use of stolen identity information to access cryptocurrency accounts. During the investigation, agents determined that VerifTools sold counterfeit identification documents for all 50 U.S. states and several foreign countries, charging as little as nine dollars, with payments accepted in cryptocurrency.

FBI agents used the VerifTools marketplace to generate and purchase fake New Mexico driver’s licenses, paying with cryptocurrency. Through their investigation, agents identified approximately $6.4 million in illicit proceeds tied to the VerifTools operation. The following counterfeit documents illustrate examples of the fake New Mexico driver’s licenses acquired from VerifTools.

“The internet is not a refuge for criminals. If you build or sell tools that let offenders impersonate victims, you are part of the crime,” said Acting U.S. Attorney Ryan Ellison. “We will use every lawful tool to disrupt your business, take the profit out of it, and bring you to justice. No one operation is bigger than us together. With our partners at every level of law enforcement we will protect New Mexicans and defend those who stand up for our community.”

“The removal of this marketplace is a major step in protecting the public from fraud and identity theft crime,” said Philip Russell, Acting Special Agent in Charge of the FBI Albuquerque Division. “Together with our partners, we will continue to target and dismantle the platforms that criminals depend on, no matter where they operate.”

Acting U.S. Attorney Ryan Ellison and Acting Special Agent in Charge Philip Russell of the FBI’s Albuquerque Field Office announced the development today.

Agents from the FBI’s Albuquerque Field Office conducted the investigation, with valuable assistance from the Justice Department’s Office of International Affairs.

The Justice Department worked closely with investigators and prosecutors from several jurisdictions, including the District of New Mexico, the Eastern District of Virginia, the Dutch National Police, and the Netherlands Public Prosecution Service.