FBI Takes Down VerifTools: Counterfeit ID Market for Cybercrime Dismantled

The FBI has taken a decisive blow against online criminal activity, announcing today the seizure of two marketplace domains and one blog that were being used to sell fraudulent identity documents on a global scale.

Operating under the name VerifTools, these operators produced and sold counterfeit driver’s licenses, passports, and other identification documents for as little as nine dollars. Their products were designed to bypass identity verification systems and grant unauthorized access to online accounts, potentially leading to massive data breaches and financial theft.

The investigation began in August 2022 when the FBI uncovered a conspiracy aimed at using stolen identity information to gain access to cryptocurrency accounts. Through their use of VerifTools, they were able to generate counterfeit New Mexico driver’s licenses, purchasing them with cryptocurrency. The estimated value of the illicit proceeds linked to this marketplace is approximately $6.4 million.

Acting U.S. Attorney Ryan Ellison emphasized the severity of the crime and the commitment of law enforcement to bring the operators to justice. “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 Ellison. “We will use every lawful tool to disrupt your business, take the profit out of it, and bring you to justice.”

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

The Albuquerque Field Office of the FBI conducted the investigation, with valuable assistance provided by the Justice Department’s Office of International Affairs. The collaboration between multiple jurisdictions, including the District of New Mexico, Eastern District of Virginia, the Dutch National Police, and the Netherlands Public Prosecution Service, was instrumental in this operation.