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I know 'innocent until proven guilty' and all that, but I'm still pretty surprised that a judge would allow someone who is about to go on trial for computer fraud and hacking find work at a computer company and use the internet.

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It was probably due to a plea bargain. He pled guilty, and one of the conditions was likely that he was allowed to be able to work, using computers, until his sentence begins.

I wouldn't doubt that the conditions minimized or prevented his use of computers outside of work-related purposes.

Are shoplifters banned from shopping?

In many cases they are banned from the stores where they shoplifted -- both by the company explicitly, and sometimes restraining orders are filed with the local municipality.

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