Indian national security architecture has undergone a radical, irreversible change over the past decade. Traditional threats, mainly resulting from physical penetration, armed rebellion, and traditional espionage, have been combined with technologically advanced means that exploit digital infrastructure. Artificial intelligence has become a dual-use technology that will improve the efficiency of governance while, at the same time, providing hostile parties with unprecedented means of deception. The creation of hyper-realistic identity credentials, financial instruments, immigration documents, and biometric records that can circumvent traditional verification systems is among the gravest manifestations of this development, as they can be used to forge documents and advance criminal activities (AI-driven document forgery). The boosted digitisation of welfare distribution, banking, electoral registration, taxation, and health services in India has created a large storage of personal data and digital credentials. Although this change has made the administration more transparent and inclusive, it has also created a larger attack surface for bad actors. The latest statistical data for 2024-2026 show a drastic increase in the number of cybercrime complaints, losses in the tens of thousands of crores, and rapid growth in synthetic identity fraud enabled by generative artificial intelligence. The paper critically explains whether the emerging legal framework in India which embraces the Information Technology Act, 2000, the Bharatiya Nyaya Sanhita, 2023, the Digital Personal Data Protection Act, 2023, and the Unlawful Activities Prevention Act, 1967 have adequately prepared to take on the evolving document forgery in India-based on AI technology without compromising the provisions of privacy as expressed in the Justice K S Puttaswamy v Union of India. This paper argues, through an analytical examination of geopolitical processes, transnational scam networks, state-sponsored cyber activities, and domestic responses, that AI-driven forgery is a hybrid threat to national security and that a techno-legal response should be carefully calibrated. The main dilemma is how to balance the increased data mining and surveillance with the proportionality requirement of the constitutional jurisprudence.