I think a lot of people WISH this was a hoax, but it's most definitely not one. Although there are some folks who'd like to sweep this under the rug, hide their heads in the sand and pretend it never happened, unfortunately that's not the case. This is a real, prime example of a blatant misappropriation of the intellectual property of not just one individual, but scores of individuals and corporations.
Someone made a ton of money stealing the work of writers from the internet. No matter how much anyone SAYS this is a hoax, it isn't. It's substantiated fact--and probably only the tip of the iceberg when it comes to this type of activity. This stupid 'editor' was dumb enough not only to get caught, but to act like an asswipe when she did. I'd be willing to bet there are scads of 'editors' out there will small print run magazines or e-zines, perpetrating the same type of IP theft who AREN'T dumb enough to respond the way Griggs did.
So anytime something like this happens, it's understandable to me at least that the writing community would do their darnedest to publicize the circumstances around it, despite the ostriches who would like to claim 'it's all a hoax.'