Thanks for the great writeup. Those spam roaches are persistent. Wouldn’t it be nice if Google stepped up and started to fix the problem that PageRank has caused?
I wrote up some thoughts, and the start of a possible solution (NOFOLLOW just ain’t it, because it breaks the web in order to negate spam)
http://www.darcynorman.net/2008/02/19/on-google-and-the-recursive-cycle-of-spam/