I don't know if you can really call it abuse, but using the command gives you the ability not to have an IFF at all, so you can somewhat "hide" who you are until in scanning range.
I personally find it a bit annoying how many players run around with no IFF at all. IFF is there for a reason, it stands for "Identification, Friend or Foe"
for example, a "pirate" who has a "pirate" ID, but no IFF tag. Shouldn't I see him as red too? IMO this fringes on REP abuse. (almost as bad as the "freelancer" IFF, "Pirate ID" who I didn't manage to get a screen shot of)
Quote:6.2 Out of Roleplay (OORP):
In-game tag seen before the name must match the ID as closely as possible. It is not allowed to have the tag not match ID category. For example, it is prohibited to have 'Police' tag and 'Pirate' ID.
Equipment used must match tag and ID as closely as possible. For example, it is not allowed for Corsairs to use Outcast ships and guns.
All reputations should be in accordance with the faction followed, all enemies must be red, at least during the course of a player - player combat
I believe that the absence of an IFF can be in of itself REP abuse. if you're not a IND. Trader or Mercenary, you should have an IFF (plus civilian and Recruit of course)
But this rant should be it's own topic so I'll stop now.