What I'm hearing is that, because they collected it and stored the passwords as part of their reckless attempt to log every action that every human makes online

What I'm hearing is that, because they collected it and stored the passwords as part of their reckless attempt to log every action that every human makes online in order to manipulate them, its more excusable than if it was in a specific and protected user credential database? Its only an easy mistake when you're vacuuming up everything people do.