Episode 03 of the Fight Fraud Series with Dana Randazzo, COO, Auto Hauler Exchange
Key takeaways
- Three routes in: purchased dormant MC numbers, hacked carrier accounts, and AI-generated documentation.
- Dormant authorities with clean history have sold on the secondary market for as much as $30,000.
- The DOT number on the truck must match the dispatch paperwork exactly, not approximately.
- Paperwork alone is no longer a reliable defense. Verify against FMCSA SAFER, not against the document in front of you.
Identity spoofing passes the most obvious checks. The MC number is real. The DOT matches a real company. The insurance certificate looks legitimate. The only problem is the person showing up to pick up your vehicle has no legitimate claim to any of it.
"It's pretty easy for bad carriers to do things like generate gate passes and fake documentation with AI today. It's become rampant." Dana Randazzo, COO, Auto Hauler Exchange
According to FreightWaves, freight fraud has shifted from opportunistic theft to organized, technology-enabled deception. Identity-based fraud, where bad actors impersonate legitimate motor carriers, dispatchers, and brokers, is now the dominant threat vector in commercial freight. As Jamie Cannon, SVP at Reliance Partners, put it, the MC number, the certificate, and the email signature can all look real while the person communicating has no connection to the actual carrier.
Here's how it works in vehicle transport, what to verify, and what stops it.
How identity fraud happens
Purchasing or inheriting valid MC numbers
FMCSA operating authority, the MC number that lets a carrier haul freight commercially, can be purchased or transferred when a carrier goes out of business or stops operations. Bad actors buy these dormant authorities from carriers who are no longer monitoring their registration. The MC number still shows as active on FMCSA's SAFER system, passes basic checks, and gives the fraudster a clean-looking credential to book loads with.
Overdrive reported in 2024 that active MC numbers were selling on the secondary market for as much as $30,000, specifically because an established authority with clean history is harder to detect than a brand-new one. Legitimate-looking age, no recent violations, prior insurance history. all present, all belonging to someone else.
Hacking into active carrier accounts
Active carriers with clean safety records are also phishing targets. Once a bad actor compromises a legitimate carrier's email or dispatch system, they intercept load bookings, alter delivery addresses, and route vehicles to unauthorized locations, all while the real carrier has no idea their identity is in use. The load board or broker sees a carrier they've worked with before and has no reason to question it.
Generating convincing fake documentation with AI
Producing fake gate passes, dispatch paperwork, and insurance certificates used to take real effort. It required design software and an understanding of what legitimate documents looked like. AI removed both barriers. Fraudsters now generate professional-quality fake documentation in minutes. Font, formatting, logo placement, policy numbers, all convincing enough to pass a visual inspection at the releasing lot.
FreightWaves has reported that AI is making fraud faster, cleaner, and harder to spot, enabling professional-looking communications, fake documents, convincing carrier profiles, cloned voices, and phishing that feels real. For a releasing dealer or auction, that means the paperwork check alone is no longer a reliable defense.
What to check on the paperwork
The DOT number on the paperwork must match the DOT number on the truck. Not approximately. Exactly. You can verify any carrier's DOT number, operating authority status, safety rating, and inspection history at safer.fmcsa.dot.gov, FMCSA's free public lookup tool. It takes about 60 seconds and shows whether the authority is active, how long it has been operating, and whether there are safety flags on record.
Two things to look for that indicate a higher-risk situation:
Brand-new authority. An MC number issued within the last 60 to 180 days, combined with a rate below market, is a meaningful red flag. AHX requires a minimum of 180 days of active operating authority before a carrier can be approved to haul on the platform.
Mismatch on the VIN. Paperwork showing only the last six digits of the VIN, or identifying the vehicle only by year, make, and model, is a red flag. A legitimately dispatched carrier has the full 17-digit VIN. Fraudsters who scraped vehicle information from a listing or load board frequently have only the general description. Never release to a driver who can't produce or confirm the full VIN.
What to verify at the lot
Verify the carrier name and DOT number on the truck against your dispatch paperwork. Look at the door or cab. The number displayed there must match exactly.
Request the driver's license. Photograph it. The driver's name must match the dispatch records you received. If there's any discrepancy between the name on the license, the name in your records, and the name the driver gives verbally, stop the release.
"Never release a vehicle where it 'almost' matches. Use a single checklist. If someone's out, make sure there's a checklist there so it's easy for everyone to follow." Dana Randazzo
On AHX, the shipper sees the carrier name, DOT number, COI, driver name, and driver phone number before the vehicle is released, so the lot has something concrete to check the driver against.
Download the free AHX Vehicle Release Checklist, a step-by-step guide for every vehicle release.
For how AHX's carrier verification process works, read How We Vet Carriers for Insurance, Monitoring, and Compliance.
Watch Episode 3 free at autohaulerexchange.com/fight-fraud.
FAQ
How do fraudsters get a real MC number?
They buy dormant authorities from carriers who have stopped operating, or they compromise an active carrier's email and dispatch accounts. Both routes produce credentials that pass a basic lookup.
Can I spot a fake insurance certificate by looking at it?
Usually not. AI-generated certificates now match legitimate formatting closely enough to pass visual inspection. Confirm coverage with the insurer directly, using a number you source independently.
What's the single fastest check at the lot?
Match the DOT number on the truck to your dispatch paperwork, then confirm the driver has the full 17-digit VIN. Those two take under a minute and catch most impersonation attempts.
How new is too new for a carrier's authority?
Authority under 90 to 180 days old, paired with a below-market rate, is the pattern to watch. AHX requires 180 days of active authority before approval.
Sources: FreightWaves, "Freight Fraud Has Gone Corporate," May 2026; Overdrive, 2024; FMCSA SAFER system, safer.fmcsa.dot.gov; AHX State of Transparency in Vehicle Transportation.
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