This sounds fishy. IANAL, but what would be the possible repercussions of mentioning their name? Having your license revoked seems like the maximum possible punishment, and would this really stop a tenured professor?
My view might be slightly skewed since the basis of the competition was to make it hard (low light, noise, occlusion, pose, atmospheric blur) and the commercial competitors are trained on easier datasets (close range, well lit, uniform pose and expression). While L1's system would perform better on driver's license images false positives are going to occur in any system. So when it flags a person it should be regarded as something fishy might be going on instead the oracle says this person is a terrorist who buys alcohol for teens, lock him away!