Intellectual property laws are not uniform around the world. That was one of the "I feel that the law is this way" arguments. You might wonder "where does this guy get off saying all this?" I'm a lawyer.
It's not patent law, as you claim. A patent would have expired years ago. Also, Scrabble was denied a patent by the PTO. I don't know what copyrights are claimed, but there are several claims that could be raised, including the look of the board as an artistic expression. The Scrabulous board uses the same colors and pieces as Scrabble. Clearly there are a number of trademark issues. It's not clear why you brushed those claims aside, maybe you don't know the law and you just felt that it was a certain way? Is Scrabulous too similar to Scrabble? Maybe. Is the use of the word Scrab in conjunction with a crossword game a trademark violation - probably.
Mattel and Hasbro's position, obviously, is that there is a violation of their intellectual property in one form or another. They will raise both copyright and trademark claims. But you're sorely mistaken if you think their primary goal is to disgorge the makers of Scrabulous of the ~$300,000 per year that they make off the game. They sell 1 to 2 million Scrabble boards per year. They want it taken offline, and they don't need to sue in India for that. Different circuits in the US have different bodies of law. Mattel and Hasbro will have their pick of the one with precedent most supportive of their claims. The Scrabulous makers will likely not have many grounds for removal.
Your rebuttal, however, really proved my original point. Every claim you made was wrong - and that didn't stop you from saying it as though you had some authority.