This is STILL going on, I was contacted recently by ANOTHER user, username "AliciaDobbs".
I think that it might be necessary to either ban the IP connected to those users from creating new accounts, or possibly add a code that prevents "freeing" music to be included in a PM? This is probably too much work, but at least we are all aware of it now.
The site isn't clean at all.. I read through it, someone was impersonating Skrillex. Overall.. ridiculous.
If you are interested in getting signed, look for a local label. They are cool to work with and you will be able to get your music heard locally, have the option to branch out later. All musicians/people in general should get familiar with the blacks law dictionary.