HCE was an empire comprised of multiple factions. All other factions besides acre have left therefore HCE is acre.
Two things about gear bugging.
1. If there are a few sets of gear you still qualify for the free peasant gear. Not sure how the numbers work but I did have a battle where I had no weapons and 5 plate armor and still received the peasant gear.
2. There really is no way to prove that anyone gear bugged or that someone masterminded the whole plan to do so.
Honestly you're strat talk is so boring. I would rather be working right now instead of reading the forums at work. Just fight each other like men and stop trying to get an advantage over someone in a meaningless video game.