We certainly can't put restrictions on how one chooses to spend their merits.
Yes we can not for sure. I am on the same page like you on this. However I can not agree with the following...
He's not trading them for money or an alt-account.
You can not read someones mind unless they spell it. By the way, this does not mean that I am saying that he traded for money or an alt account. My point is you can not be so sure about it unless you have enough evidence.
PS: After reading all the comments especially The Pharmacist and looking at roslin's merit history, it's obvious that he actually does not realize much about the importance of merit.