How do you know that Google has not rated it as spam? I did some test searches at their supposedly targetted key phrases and the site was nowhere to be seen. And many of the pages have a toolbar rank of nothing. Just because it hasn't been blacklisted doesn't mean that the techniques are working.
I bet that site has had more refferals from this thread than anything search activity.
In case anyone doesn't know, that kind of on-site anchor text pushing does not really work for long, Google has filters that pick out anchor text manipulation. These guys are using techniques that might have worked 10 years ago - the G algos might have flaws but they aren't stupid. I hope no one paid for that
SEO.
BTW, I didn't realise there were any "rules" . Working to standards and trying make stuff accessible to visitors, fine. But playing by the rules? C'mon, this isn't third grade.
Best Wishes
Rob