If RIM can make this work, it can be huge. Unfortunately, I think legal's going to get in its way...Apple's libraries aren't open sourced and so RIM cannot use those libraries without Apple's permission. Of course, RIM can try to do a clean room implementation of these libraries, but it's likely to be very difficult to do....and RIM's really encouraging Cascades development at this point (at least at BB10 Jam anyways) (rather than emphasizing Android run-time....(although apparently Android comes up quite often at the BB10 Jam Tour sessions))....
This is doable with hooking which I have 0 experience with but its not something easy. You would have to replicate the behavior of all of apple's API's in you own module and then implement something that "hooks" during runtime into the operating system. Otherwise your only option is creating a vm which catches api calls in some way and runs the rest of the instructions on metal. This would be a sort of selective emulator. Just seems very tricky to make it work flawlessly and you would definitely have to have a lot of experience programming for iOS as well as a good understanding of how these API's are called at the machine code level in order to hook.
Definitely possible, but this guy must have been working on it for a loooong time if real. I do not see why such a product would be illegal though.... emulating something by studying documentation (which is all he should have to do) is legal as far as I know.
EDIT: I think a much more informed poster said something correct in the other thread on this topic. My info may be completely incorrect.