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arXiv papers are pre-peer reviewed (preprint), that is its purpose. There are 500,000 papers on that site or more.

http://en.wikipedia.org/wiki/ArXiv

And it is standard for authors to list their university affiliations on papers whatever the quality of the paper regardless of whether it is a pre-print or not. Look at every other paper on arXiv, they all have affiliations, and there is a ton of crap on arXiv that will never pass pre-review.

These students didn't do anything wrong in putting the paper online here. Now if they did a PR to the media to promote their work and mis-portrayed it as peer reviewed or authoritative, that is a different matter. But putting a pre-print on arVix with proper affiliations is just standard procedure these days.




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