Simply put, this bug when exploited completely negates the puropse of the Judge, by letting one "Cheat" at will. Also this flaw can probably be exploited in order to hack the judge machine, erase files or any other malicious activity.
I have only explored the possibility of "Cheating".
At this moment I will refrain from making any technical details public, in order to prevent any attacks. However I can say that this "trick" is so obvious and rather easy, that I am really surprised that the Judge was running for many years without this weakness being identified and exploited, or was it? Maybe someone knew and didn't tell

Anyway, as a proof of principle I have "Cheated" my way to the top of one of the finest and most prized problems on the judge in my opinion 495.
My best timing with an "honest" code was 59ms. Now it is 25ms.
Second trial was with 102.
My best timing was 51ms, now it is 2ms.
These are the only problems which I have tested but I think the trick will work most of the time.
Of course I want the administrators to remove my stats from these problems, THIS WAS JUST A DEMONSTRATION.
The admins are encouraged to contact me, and work on solving this problem.