HN user
Sounds very similar to this story[0][1]. If i recall correctly: Ambitious NY Fed employee claims she was fired because she wouldn't soften language in a report; secretly records meetings that show extreme deference to banks. The This American Life version is really great.
[0]https://www.propublica.org/article/carmen-segarras-secret-re...
[1]http://www.thisamericanlife.org/radio-archives/episode/536/t...
I think $7500 is their net loss. They raised $35,452 on Kickstarter.
https://www.kickstarter.com/projects/583591444/mineservertm-...
This article makes a much better read:
http://www.wsj.com/articles/behind-the-rise-and-fall-of-blac...
A link to get around the paywall: https://www.google.com/search?q=The+Inside+Story+of+How+the+...
It doesn't need to be impossible. The problem could be designed away: on form submission send an email saying 'looks like you already have an account' or 'welcome... next steps' and just show a 'check your email' message in the browser.