<The auditor wanted /etc/passwd.>

IIRC on a traditional *NIX system, /etc/passwd contains the password in clear 
text. 
The act of giving the auditor a copy (hardcopy or other) would be an audit 
violation.

Of course the fact that this is a VM system (which does not have /etc/passwd) 
is laughable.

Obviously this auditor did (in Seymour's vernacular) "know enough to be useful"

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