AI, Deepfakes and the Rise of Fake Applicants: What Employers Need to Know

Introduction‍

Generative AI is transforming recruiting—and not always for the better. As AI tools like ChatGPT, deepfake video generators, and voice cloning software become more accessible, a new wave of applicant fraud is emerging. From fabricated resumes and AI-enhanced interview answers to entire fake identities, this trend is costing companies millions and undermining trust in the hiring process.

Recent research predicts that by 2028, one in four global job candidates could be fake. For employers, this is no longer a theoretical risk—it is a daily reality.

The Problem

While resume embellishments have always existed, AI is accelerating and scaling deception in ways never seen before:

• ‍AI-generated resumes: Candidates use generative tools to create polished, keyword-rich resumes full of exaggerated or false achievements.
• ‍Deepfake interviews: Impostors appear on camera using video filters or stand-ins to answer questions in real time, fooling hiring teams into believing they are speaking to the real candidate.
• ‍Stolen identities: Some applicants use AI tools to assume entirely fictitious or stolen identities to access sensitive systems, siphon data, or collect salaries without performing the work.

According to multiple surveys, nearly 70% of candidates have used AI to write resumes, and nearly half admit to using AI to exaggerate or lie outright about their skills or experience.

This is not simply a hiring issue. In many cases, fraudulent candidates intend to:

• Commit cybercrime by installing malware or stealing proprietary data
• Collect paychecks while outsourcing their work to overseas contractors
• Create liability for employers by violating labor or security regulations

Email, phone and call-back spoofing: how fraudsters fake verification

In addition to fabricated resumes, deepfakes and synthetic identities, fraudsters increasingly exploit simple communication channels to manufacture credibility.

Common tactics include spoofing email addresses to make messages appear to come from legitimate employers or institutions, using burner or virtual phone numbers to answer reference and employment verification calls, and routing calls over internet telephony (VoIP) to mask true call origins. These techniques allow impostors to stage credible-looking verifications—submitting falsified offer letters, returning calls from a “former manager,” or producing emailed confirmations from what looks like an HR address—when in fact the messages and calls are controlled by the candidate or a third-party actor.

Because many verification workflows still rely on a single phone call or emailed form, these communication-layer exploits can be devastatingly effective. Caller ID can be spoofed, disposable phone numbers provisioned in minutes, and VoIP providers (sometimes anonymously) can forward calls worldwide—making it difficult to rely on surface indicators of legitimacy. In short, the channel that employers use to validate information can be weaponized to produce convincing but fraudulent corroboration.

We see these tools in our everyday lives through “robo calls” and spam emails. Now these tools have evolved beyond marketing and scams and have entered the employment domain.

Detection and mitigation (practical steps)

To reduce exposure, verification processes must assume the channel can be compromised and require independent confirmation:

• Require verifications from corporate directories or published company contact points rather than private email addresses or numbers supplied by the candidate.
• Perform call-backs to a verified switchboard or HR extension.
• Use domain and SPF/DKIM checks to validate email authenticity.
• Treat one-time phone numbers and generic voicemail greetings as red flags.
• Preserve call metadata (incoming numbers, SIP headers, IP addresses) when possible so investigators can trace a verification back to its true origin.
• Where feasible, ask former employers to respond from corporate email accounts or via authenticated vendor portals.

Taken together, these practices make it far harder for fraudsters to convert fabricated records and deepfake interactions into apparently legitimate verifications—and they dovetail with the layered, investigator-led approach Thuro employs to detect and deter candidate fraud.

The question to ask is whether your background screening provider is taking these additional steps to thoroughly protect you and your firm.

Why This Matters

The stakes of failing to detect AI-driven fraud are significant:

• ‍Financial Impact: The U.S. Department of Labor estimates the cost of a bad hire at 30% of annual salary. When fraud is deliberate and organized, the losses can soar exponentially.
• ‍Compliance Exposure: If an employer fails to verify identity and eligibility, it could face penalties under federal or state law.
• ‍Reputational Harm: Incidents of fraud erode trust among clients, employees, and the public.

Meanwhile, legitimate candidates find themselves overlooked as fake applicants flood job boards with AI-generated submissions, further complicating hiring decisions.

Why Traditional Background “Checks” No Longer Work

For decades, most employers have relied on background “checks” designed to confirm basic information: identity, education, past employment, and the presence of criminal records. These checks play an important compliance role, but they were never built to detect deliberate deception.

Today’s fraudsters exploit that gap. AI-generated résumés can pass keyword scans. Synthetic identities can slip through automated ID verification. Deepfake interviews can mask impostors in plain sight. Public-record searches and form-driven verifications alone cannot uncover intentional fraud, especially when supported by sophisticated tools designed to mimic legitimacy.

In this environment, employers need more than confirmation—they need investigation. Thorough, investigator-led processes go beyond static records and scripted checks. They reconcile data across multiple sources, authenticate documents directly with issuing institutions, and apply advanced technologies such as:

• Facial recognition and liveness testing to confirm the person behind the screen is real.
• Document reconciliation to ensure government-issued IDs and credentials are authentic.
• Geolocation/IP analysis to confirm where candidates are truly logging in from.

By combining these techniques with human expertise, employers can close the widening gap between what traditional checks were designed to do and the advanced fraud now threatening the hiring process.

Thuro’s Approach

Thuro has long believed that background screening should be more than a transactional database search. In an age of AI-driven deception, employers need a partner who can:

• ‍Reconcile application materials: Our analysts review resumes, applications, and third-party records line by line to confirm consistency.‍
• Verify identity rigorously: We incorporate direct verification methods to confirm the person applying is the person accepting the offer.‍
• Deliver clear, narrative reports: Rather than raw data dumps, Thuro reports are investigator-led, plain-language documents vetted by certified analysts.

We also collaborate with our clients to help them implement best practices:

• ‍Training hiring teams to spot suspicious behaviors during interviews.‍
• Advising on compliance risks associated with AI detection tools.‍
• Integrating layered identity and credential verification.

The Thuro Difference: Single-Analyst, Certified Investigators

At Thuro, every background investigation is managed under our single-analyst model. Rather than handing a case off through multiple automated processes, a single PBSA-certified investigator is responsible for the entire lifecycle of the investigation—from intake and verification to analysis and reporting.

This approach ensures:

• ‍Continuity and Accountability: One point of responsibility reduces the risk of errors and missed connections.‍
• Deeper Insight: Investigators see the case holistically, recognizing inconsistencies that might be overlooked in a fragmented process.‍
• Certified Expertise: All of our investigators are PBSA-certified and trained in employment law, compliance requirements, and advanced fraud detection.‍
• Direct Client Access: Clients have a single point of contact—the investigator who knows their case from beginning to end—ensuring faster responses, clearer communication, and more personalized service.‍
• Narrative Reports: Findings are presented in plain-language reports written by the same investigator who conducted the work, ensuring clarity and actionable recommendations.

Despite this enhanced model, the costs for our more thorough investigations are comparable to those charged by the “big box” screening vendors. The return on investment is clear to our clients through more accurate results, higher-quality customer service, and increased protection against fraud.

Our proven approach is the reason why we serve multiple firms in the National Law Journal Top 100 and leading accounting firms in the Accounting Today Top 100, including six of the top 10 and two of the Big Four. Our average client tenure among these firms exceeds 22 years, reflecting deep trust built on consistent results.

By combining investigator-led rigor with modern identity-verification tools, Thuro delivers background investigations that are not just compliant but also capable of detecting sophisticatedAI-driven deception—while providing unmatched client service.

Conclusion

AI has created unprecedented opportunities for candidates—and for fraudsters. Employers who continue to rely on surface-level checks or trust unverified claims are leaving their organizations exposed to financial loss, compliance penalties, reputational damage, and insider threats. Traditional background checks were never designed to uncover deliberate, technology-enabled deception.

Thuro’s mission is to close that gap. With investigator-led processes, PBSA-certified analysts, advanced identity verification tools, and a single-analyst model that ensures accountability and client access, we provide background investigations that are thorough, legally compliant, and capable of detecting the sophisticated frauds emerging in today’s hiring landscape.

AI has created unprecedented opportunities for candidates—and for fraudsters. Employers who rely on surface-level checks or trust unverified claims are inviting serious risk.

Thuro’s mission is to help organizations navigate this complex environment with background investigations that are thorough, legally compliant, and transparent.

For more than 70 years, leading professional service firms and Fortune 500 companies have trusted Thuro to safeguard their talent pipelines. Contact Thuro today to learn how we can help you detect deception before it becomes a costly mistake.

About the Author

Kevin Prendergast is the President of Thuro and a recognized authority on employment background investigations and compliance. A licensed attorney for more than 30 years, Kevin combines deep legal expertise with over three decades of leadership in the background screening industry. He also holds the Professional Background Screening Association (PBSA) Advanced FCRA Legal Certification, underscoring his command of complex regulatory requirements.

Throughout his career, Kevin has guided Fortune 500 companies, leading professional service firms, and government contractors in designing compliant, effective investigative programs. His experience spans advising on risk management, developing compliance frameworks, and building investigative models that balance compliance with practical application.

If you would like to discuss any aspects of your background screening program or are looking to partner with a superior provider, contact Kevin at kprendergast@thuro.ai.