Yea, it's been mentioned before I'm pretty sure. How would google shut them down? Breaking a TOS is miles away from breaking the law, and the latter needs to involve a court of some sort.. I'm certain that Google catches 99% of the people that use this dumb network to get clicks. They'd have some interesting referrals stats and crazy CTRs, be hard not to notice them.. A bigger concern I would think would be a competitor signing up your site for you to get into that crappy thing.
But they do find those idiots who add their sites and google then disable their ads, or even ban them. Ever notice on all these adsense surf sites (against tos, but the owners of these sites could care less) that there is no contact info or anything else on the main page except a join link? You have to join before you can get a contact link. My thoughts are that google should email everyone (they do have all adsense members emails) and in bold red type say "Use an autosurf, get banned" or some such.
So what has Google to do with this? There are lot of such sites, forums, groups doing this. Google wont care if they are actually doing this or not, what they will do is check accounts and ban them for invalid clicks. The site as it is looks like a bunch of foolish people. I am sure its made by someone who was banned by Adsense and is jelaous of others running and earning from the best PPC program.