I told the candidates that they did not necessarily needed to show me a working application (although that would have been great!), but simply to document what architecture, language and approaches they would use to implement the task.
Also the task could be documented in a few hours, and those that got close to coding a few classes might have spent a day at it. Now the argument could be made that I did not remunerate this people, but keep in mind the work they did was not expected to be more than a few hours.
For me, this is an ideal technical interview. Also, I ended hiring a candidate though this method, and he is by far the most productive and creative force in our team.
I agree if that was the only thing you asked, you wouldn't get a good answer. However, if you then dug into their answer you can probably tell if it is BS or not.
I remember having this exact experience with a junior dev who claimed to worked on some interesting projects at Uni, but when you dug deeper, you realised he knew very little about the technology he supposedly used.
That said, my company isn't really interested in hiring people who can code an algorithm to balance b-trees. My company just need people who know how to ask questions, write maintainable code, and use a profiler.
Also, how common do you think these people are? IMO, not common enough to design an interview process around. Then again, I don't subscribe to the "one bad apple will torch the orchard" paranoia popular in this industry.
I don't write code on whiteboards for a living, nor am I applying for a job that will have me coding on whiteboards, so watching me do that will tell you almost nothing about the job you're actually hiring me for.
How else will you prove that YOU shipped those things over that period?
* Github account? Ha, my code is on github in many places, mostly without attribution, none of them uploaded by me.
* Recommendations? Ha. Unless the person recommending you already works at the company, their trustworthiness is zero - they could be a paid accomplice.
* Resume? Unless you were the sole employee, there is no way to tell how much actual work YOU did.
* "Tell me about that one time you solved an interesting problem?" Ha. Can easily be a well-practiced lie.
(yes i have seen all of the above)
Turns out that the only sure way to tell if you can do X, is to make you do X and watch you yourself actually do it, in person.
Now, I am not accusing YOU of fraudulently trying to get a job, but people do. An in person interview is a good way to see.
(as always, i speak for myself only, not my employer, my cat, or our Great Lord FSM)