A few days ago, we gave you a list of passwords not to use. You might recall that the data from the post was collected from an iOS app called Big Brother Security. The software made headlines when the developer went public with the information.

Daniel Amitay performed a little experiment by anonymously collecting user’s 4 digit passwords from his Big Brother Security app. Though his findings were quite interesting, publishing them may not have been the brightest move…

Apple eventually got wind of it, and, apparently, collecting sensitive data like user’s passwords doesn’t sit so well with the folks in Cupertino. The app was pulled immediately.

Amitay figured that since his password-collecting code kept everything 100% anonymous, it wouldn’t be violating any privacy laws — Apple disagreed. The developer got a phone call claiming his app was removed due to him “surreptitiously harvesting user passwords.”

Daniel has since sent in an update to his app without the password-collecting code, and is awaiting word. Good riddance. Although it appears like he had a decent case (even quoted bits of the EULA), there was just something unsettling about an app secretly collecting passwords.

Would you allow Amitay’s password-collecting app to stay in the App Store?

[TUAW]