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if they use a fraud account to buy gralat back the itunes account they use while doing so is imediatly cancelled after like 10 purchases. of course you could just make a new accoount and do it again but that takes time and by the first time you have around 100k. also the card you used for the itunes fraud is revoked for a 24 hour period.
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Exactly, they keep the gralats, and they're free to do it again. They also win all the auctions and can buy as many new items as they like, while other players wonder how the heck they got so many gralats, why auctions are 40-80k, why new guns are so expensive, etc.