One might almost think there was collusion here ... what are the odds that this would even happen? Did no one else get what was happening there?
I'm all for the AO approach to distributing loot but if they are going to make the rewards lucrative, then they should perhaps rethink the frequency. Sounds to me like a GM got bored. I remember the last time a GM got bored ... someone's twinks got stripped. FC shouldn't let GM's get bored.