BalinAre they at a sporting event?
Not what I had in mind, but this part of the puzzle could be set at a sporting event.EarnestApologies for the cross-posting chaos!!!
All good 
To be sure...did Ted know Selene's face because he saw it on the ID?
He saw her face, and recognised it from the ID... but he did not use the ID picture to seek her out And she did not know his face right?
corect Is it relevant the process of falsification of IDs?
no Like Ted steals ID to allow people to cross country borders or whatsoever?
no In showing up the ID, did the thief show up also the wallet A?
yes Did he claim to have also wallet B?
no Was Ted trying to modify Selene's ID?
noWas Selene looking for the wallet?
if not at the time, she would have been later Did Ted know that?
no (although he suspected she would eventually notice it was missing)Was Ted trying to approach Selene
yes / flirt with her?
noIs the thief willing S to know he is in possession of her ID?
yesish If so in order to threaten her?
no Can we assume that the brother was very far away?
yes Or was he just looking his wallet in another room/space of the same place?
norelevant how Ted notices the ID of Selene --> did he first notice Selene and then recognize to have seen her face on the ID?
no Vice versa?
no (the face-matching aspect of this isn't really relevant) Has Ted ever seen the ID of the brother?
yes Was Ted aware that S had a brother?
at first no, but later yes That the brother lost his wallet?
no Did S found the brother's wallet?
no Someone else?
no So that the brother could prove he was actually connected with Selene?
no Did Ted pretend to be Selene's brother
yope!/relative? But Selene could not prove the contrary?
noTimeline: a) Ted found wallet A with S's ID;
correct (this was Selene's wallet) b) he showed (voluntarily?
yes Under request? To make a point/prove something?) S the ID
yes c) the brother (or the brother's ID?)
yes, the ID is relevant here and in particular his age and last name
yes (mainly his last name)