Could well be, you wouldn't be at all surprised at the number of areas where the cry is still 'Government needs to be more joined up!'.
The article doesn't make it clear though what it means by replacement, a re-issue of the original or a 'replacement' in terms of a completely distinct document that allows the individual to travel?
While it's a not quite 'Day of the Jackal' there are plenty of people like this feller who've secured alternative passports using other peoples' identities, and not necessarily through identity theft either.
I t is an endless source of amazement to me that interested authorities are not notified when an individual is under investigation or even convicted. It seems to me obvious that the passport Offfice needs to be informed when passports etc have been taken by the police; I know we are supposed to be innocent until proven guilty but if the police think you are a flight risk it is a necessary action.
it is a bit like if you have CRB and are convicted, the agency which requires you to have the CRB is not notified that the CRB should be revoked, but rather it would only come up when renewed! Barking.