It's fucking silly, the haters and all. Everyone knows that the barriers of entry to this industry can be rough. Anyone who says that they wouldn't do what he's doing if they were in his position is a fucking liar. He's built a brand, and now he's using it to make money - how fucking barbaric. The 500 thing? Who gives a shit...really? So what if he didn't really cap it at 500, how does it affect you? It's comical to watch all the hate (read: jealousy). This is easy fucking money.
I'm sure the content will be decent, he wouldn't risk ruining his brand by throwing some shitty PPC-Coach type shit together. And like others have said, not only will he be making cash from the rebill, but his cut of any revenue generated by his sign ups as well. This is an easy 7 figures. Basically, good for him. There are a shit ton of people who deserve to be ripped on in this industry, especially in the blogs, but this guy knows how to make it work without looking like a Chow/Cruz/Johnson/Throlson/DeSouza/etc. There's a demand, so why not make a killing by giving the supply? It's what we do.