How to completely clear a locked iphone?

I have an iphone 3gs that i found and the people don't want it back but its still locked from them. How do i reset it without the password

Ask the password of their apple account and connect the device to your computer and sign in with their account on itunes and i think you could be able to unlock/clear it

I'm not sure if i should tell you, but to completely wipe it hold the sleep and home button for 10 sec then let go of the sleep button WITHOUT letting go of the home button then its in recovery mode

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