They were discussing this one on netpond awhile back. Yes, it is real, as well as a real threat. The page you have is not the same page I saw, I think, but same idea and same info.
As for ruining our industry? Well, I don't think so. It is crap that is bound to happen and we just need to work around it.
There is no solution to stop people from putting up sites like that, so we might as well figure out ways to profit from it instead
of crying in our beers
Can that dude!