Read decision "Columbia Insurance Company v. Seescandy.com, et al." (1999) of the US District Court in the Northern District of California: "People are permitted to interact pseudonymously and anonymously with each other so long as those acts are not in violation of the law." http://legal.web.aol.com/aol/aolpol/seescandy.html It can't be presumed that they are going to break the law just because they are using the fictitious name and have some criminal history.
So that they can be entertaining LF folks with their "Suck my ass" comments.
ebay should join in, since most such phones are probably sold through ebay. They should ask sellers to type in the phone number and block the sale in phone is in the database.