Sure, there are some arrogant bastards who flaunt the law because they think it doesn't apply to them (should these people be teachers?), and some who are just plain stupid (should these people be teachers?).

Those two groups of foreign "teachers" you are mentioning should neither be teachers nor should they be in China as their only function is to stabilize a system known as "the crappy world of ESL" instead of helping the advance of quality education in China. We have seen some of them posting here in the past, and fortunately, most of them are gone meanwhile.