That's horrible news. Where did they get these passports? Did they steal them in regular day life? Or is it from a hack? I imagine a hack, because what are the chances that some random everyday person had their passport stolen and at the same time was into cryptos and was going a specific ICO.
Most probably from scam ICOs who are then selling the information of participants. KYC really needs to be controlled in some way to stop this from happening because data is valuable and people will always try to do this for as long as it's possible. There has to be some alternative to sending copies of your identification.