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If I were the original owner I would have called Amazon and had it bricked. I know that it is legal and fair for storage places to sell the contents of units that have not been paid for after a period of time but that does not mean that the person whose stuff is sold has to just allow devices that he had used by anyone.
You did say that you knew that the unit had been blocked by Amazon when you bought it.
I don't think that you have bought something illegally or that it was sold to you illegally but I don't think that the original owner was necessarily wrong to call Amazon and report the device as lost.
That said, google Apprentice Alf and what you find.
IF that does not help you then think about getting a Special Offer Kindle for $114 and give your Hubby the K1.
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