LW is peer-to-peer. You don't connect to a central server! You connect to other users of the Gnutella network (like you & me). There's absolutely no way that LW can control what's being shared on the network.
Many organisations (eg the RIAA) would love to see p2p die. So, what better way to sabotage p2p than to flood the network with fake & infected files???
There's more info about this here.
Fake files in search results
Read through old threads, of course people complain about this.