I believe the article states they notified the banks before publishing the original work.
The author of the article at least believes that it is a well-known flaw so responsible disclosure isn't really applicable.
I get the impression that this has captured the public mood of "sticking it to the bankers", when really Cambridge have gone about this one the wrong way.
At no point do I get the indication that the MPhil student was acting in a way that was 'irresponsible' - I don't know how you have come to that conclusion.
In fact, many would argue that responsible disclosure is anything but, since it has the tendancy tp maximize the amount of time the public is at risk.
All of this is ignoring the fact that this paper wasnt even disclosure at al...