Had this happen at the beginning of the pandemic. Did well on the full loop. The Friday of that week the recruiter reaches out to get references. A week goes by, I hear nothing. I contact one of my references, they heard nothing.
A month later another recruiter from the company reaches out and explains the recruiter I was talking to was let go that day. Told me in the system that I was approved to hire, but unfortunately along with the layoff came a 6 month hiring freeze for engineering.
It should be illegal to ask for references - the purpose of the interview is to understand your capabilities and abilities. If they couldn't suss all about you in that process then they have a shitty interview process.