Earlier quoted context omitted.
AFAIK users didn't actually upload content to the site. They submitted it and then Mr Moore or someone else posted it. I'm also pretty sure he wouldn't honour take down requests.
Is there a large chasm between "upload content" and "submit [content]"? Is the difference in the latter case just that someone clicks "ok, post this"? I don't think that a quality-review (or lesser, a mechanism to queue and release content to the site slowly over time) turns user-generated-content into site-generated-content. If Youtube did a quality review, it would still be UGC. If Youtube did a post-facto quality…
http://en.wikipedia.org/wiki/Section_230_of_the_Communicatio...
Also, I'm not sure why a quality-review process would lessen culpability if all the illegal stuff gets through anyway.