your friend should continue to seek advice by a lawyer as such situations are complicated legally:
among others it is relevant:
- where does he come from?
- did he apply for asylum before 1 Sepetember 2005?
Generally speaking he can try to apply for a "Ausbildungsduldung" once his asylum request has been rejected. But then he must immediately start to cooperate with providing his real identity (including passport). Otherwise he will not have the right to receive a "Ausbildungsduldung". In Berlin, for example, the authorities give him about six months to provide them with the real passport. But in any event he must immediateley start to cooperate to provide his real passport and show it to the authorities that he cooperates. Again: a lawyer should do this for him.