What is more idiotic (if this is true) is that he doesn't appear to have an offsite tape or cloud backup. Anyone who cares one iota about staying in business has tapes in a fireproof safe on site and a rotation to an offsite location (or a cloud service provider) just in case something like this happens.
3 - 2 - 1
Three copies of your data (live, local backup, remote backup), on two different types of media (disk / tape or cloud), one of which is offsite.
3 - 2 - 1
Three copies of your data (live, local backup, remote backup), on two different types of media (disk / tape or cloud), one of which is offsite.