Bit Torrent Legal action / Scam

That's not how they do it.

The owner of the copyrighted work employs a company that monitors specific torrents.

They grab the IP addresses and make a court order to the relevant ISP to find out who had that IP address at that time/date.

Technology is not proven though, and still untested. There can be lots of fake IPs on a torrent, and IPs can be obfuscated.

so a man on bitorent searches for content and sees how much that user has? god thats simple

I know ISPs monitor protocols to analyse traffic flows etc. so its info easy to get.
Its all a deterent, it will stop a lot of people putting their libraries up, that happends there is less available.