Popular Facebook applications are unabashed scams (even Stanford ones)

i was recently dismayed to find that one of the hottest recent facebook applications, 'Send Hotness,' is nothing more than a scam. It features a 'continue' button that appears to be a functional part of the application, but actually links the user out of facebook into scam webpages asking for phone numbers, etc. A user could easily be fooled into thinking that entering this information is part of the registration process. The buzz around Stanford is that this application, which is trumpeted by the stanford facebook application class, now has over 3 million users and is making many thousand dollars per week. i'm embarrassed of my alma mater and have tried contacting facebook to inform them of the issue, but i assume they have a pretty laissez faire policy in regard to applications. Do you guys think this is just the inevitable progression of facebook applications and web ventures in general?