Wrong! Network Solutions (the most popular, for historic reasons, DNS registrar) has set up a new service. When you use their "whois" server to look up information about a domain, and it's not used, they automatically register it for themselves and install a DNS-squatter page, with links to their "buy this domain" form. This makes the domain appear to be in-use, making it impossible to use any competing registrar.
If this isn't illegal, it should be.