There is actually a site where they have capitalized on making fun of that scam site. Someone sent a gibberish poem, and it was actually published. Others have sent horrible renditions poking fun of the web site and claim that those were published as well. You'd think they would be sure to read everything, but that costs money and all they want to do is make money.
There is also a scam photography site that runs just about the same way...submit, win, pay, get spammed with offers to be a better photographer....
The only reason that poetry site gets away with it is that they do exactly as they say, but you have to pay big bucks to win anything. I was told flat out that I was selected as a semi-finalist. Period. Then when I told them I cannot attend I was told that I was no longer a finalist. Their conference was $700, so it was apparent to me that my $700 was what made me a finalist, not my poetry. I mean, does a musical artist need to be present to win a grammy? An actor, to win an oscar?
I'll bet if they queried all the big $$winners they'd find that they all paid lots and attended seminars. It's like the lottery...gotta play to win, and in order to play you gotta pay.