Yes I have Eric. The problem is that it uses https and seems to setup a p2p proxy network. The product is called Ultrasurf. You can also look at my post below this explaining the shortcomings of https web filtering.
I actually talked to the developer last night. His name is Alan Huang & he is a U of T grad now living in San Jose. The project is/was funded by the US Congress and is a technology aimed at enabling citizens in less democratic countries to get past their countries firewalls/filtering systems. (Undoubtedly sold to them by American companies.)
In an email & on the phone, I pointed out that the US government also had mandated web filtering to protect students from the unsavoury aspects of the internet and that it was proving quite popular with students. This was not the target audience for which the US Congress had intended. I asked if there could be a way of blacklisting legitimate sites (such as school boards) from accessing the service but he felt that it would compromise his service. I asked that he at least respond to my email, stating this reply.
Perhaps there are some educational customers in the States who could approach their congressmen and point out the shortcomings of this project. Maybe they can provide additional funds so that Alan could research a way of addressing the collateral damage that this federally funded project is having.
To Allan' s credit, he has created a very compact program, that can be renamed, has very little network footprint other then the burst of DNS requests to legitimate sites & p2p hosts, and quite easily sets up a proxy to the loopback address despite a group policy that is supposed to lock that option down. Commenting on our imaging teams efforts & my scanning efforts, he chuckled, " Good luck. The Chinese are spending millions trying to crack this program."