Legal issues and shouts of hypocrisy aside, stealing a picture someone else drew and erasing the artist's name from it to attempt to generate interest in a non-existent product is cheesy, and re-adding the artist's name (but leaving other changes made to the picture) after being caught is just comical. Anyone lame enough to do that deserves whatever criticism they get.
I don't know if what he is doing with the picture is legal or not but the behaviour really does speak for itself. I wonder if his business partners are starting to think twice?
