Yes but ........ I'm not defending Ryanair, I loathe and despise their modus operandum and culture, however, having supervised ticket desks at international airports, I could tell you stories that would make your hair stand on end about the depths to which people will sink, telling the most appalling lies, to avoid paying reissue fees and so on. Anyone who has worked in a similar position will understand this.
The difference is that whereas I had, and allowed my staff, the discretion to make judgements and waive charges in cases where there appeared to be a genuine hardship or other motivation, I am quite sure that Ryanair's staff/agents did not have that discretion and that is a fundamental flaw in their culture.
Its a no win situation for staff and controls are in place because of this and as you indicated you have seen what people will do.
On the morning in question the news that the family had died and what had occurred was pretty limited.......he told of fire at 3am, he was informed as he was in the aiport that they had died just before 5.30am, flight at 6.30am. Its kind of hard for airport staff to know if it had really happened because news was limited.
Flagging it up earlier would have been a better idea, should have happened but dammed if they do dammed if they don't.