Google noticed this, and for unique/low-traffic search terms, was able to synthetically generate enough "fake" traffic that the "fake" traffic became the dominating signal for those terms, and therefore Bing started directing users to the fake results.
The bad thing here IMO is the level of tracking of users via this toolbar, but fundamentally this seems as bad as any other digital fingerprinting or advertiser tracking as anything else that's become common on the web. This is not to excuse Microsoft for doing a bad thing, but it really had very little to do with "scraping Google", which somehow became the popular media takeaway for this.
EDIT: a decent contemporaneous article in Wired: https://www.wired.com/2011/02/bing-copies-google/, mentioning how Microsoft was using the clickstream data from the browser/toolbar, not scraping Google results per se