Bad links? No way. Can it be true? (gettingmorevisitors.com)

"Indian SEO firms who will submit to 100000000 directories for $10 or whatever"

Redneck blogger.

I wonder, does Google count links from bad sites as negative, or does it simply ignore them?

I am afraid it will be negative, but this opens the door for abuse by linking to the competition from unwanted pages? So to just ignore them would be more fair?