I guess he simply had a firewall that monitors active connections on his workstation (when an unregistered program tried to access the network an alert showed up).
I have used the same trick sometimes when nobody could remember the FTP credentials, but they were stored in the FTP program and a connection to the FTP server was still possible. Sometimes the guy with access to the admin panel is just not available, so a possible solution is to use Wireshark to retrieve the password, which is usually transmitted without encryption.