Hey man, not cool to out sites in public. Explain what they have done etc but never mention the site's domain name for crying out loud. You aware fat man Cutts and his nerdy team read this forum every day and that other people can report the site or copy them? Let's keep it cool in this forum, talk and bash sh*t at others' techniques for beating you in the SERPS all day long if you want, but never out a site.
Also, good BHs know how to block all backlink crawlers and only allow Google in (although this is usually only done if you have a blog network and know your stuff), so you may not be seeing the reality to the site's backlink situation. And it goes without saying that Google sometimes screws it up but it takes a few days to obliterate you from the SERPs when the bot realizes it is indexing crap.