Federal Trade Commission | Investigation of Wild Cybersecurity Incident

This is one of the most bizarre cyber security stories I have ever encountered.  As I understand it:

Government-Funded Research into Advanced Technology

US government-funded researchers -- apparently using unique, advanced, proprietary, patented technology -- figure out how to acquire a single, sensitive healthcare document belonging to a small business.  

Researchers Try to Cash In

The researchers contact the small business and doggedly, repeatedly try to sell remedial security services to the business.  The business refuses to pay up.  

Then, after the researchers have tried, unsuccessfully, for months to sell services to the business, the researchers decide it is now time give the healthcare document to the FTC.  

FTC Appearance of Bias or Impropriety?

The FTC pours unbelievable resources into investigating the small business with respect to this single document.  The expensive investigation goes on and on, and has advanced to federal court.  

Meanwhile, neither FTC nor any other government authority ever questions or opens an investigation of the (highly unusual?) methods or behavior of the researchers . . . at least, it has not done so publicly or to my knowledge.

One FTC commissioner opines that FTC should not rely on the evidence supplied by the researchers lest the FTC associate itself with the appearance of bias or impropriety.

Was The Researchers' Behavior Questionable?

Has anyone ever heard of reputable IT security professionals behaving like these enterprising, government-funded researchers?

[This all involves serious allegations, worthy of public discussion. I don't know all the facts, and just because the author of the book cited below says something does not mean it is true or complete.  If I have misunderstood any part of this story, please speak up. I wish to ensure that what I say is accurate. http://hack-igations.blogspot.com/2013/07/government-surveillance-on-small.html ]
Shared publicly