My buddy unknowingly bought a stolen Iphone 5?

So my buddy bought this iPhone 5 from some guys locally after his phone stopped working. He didn't know what he was doing I guess because he didn't check the IMEI number or anything before hand. So he goes to activate it and I guess a messaged popped up saying "this phone has been reported stolen, please call ###-###-####"

He tried texting the dude back that sold it to him but the guy wouldn't text him back. He also tried Facebook messaging him but couldn't get a reply either but it showed "seen" under the message so he knows the guy seen it. Then the guy blocks my friend on

My friends of could still look at this guys Facebook since she's not blocked however. So her and my friend go in and take screen shots of the Facebook post where he was trying to sell his iPhone 5 on his timeline. They also took screenshots of his Facebook post in a group page that he posted it on. And took pictures of his profile details and what not.

So now as proof he has:

-the Facebook messages where my friend first contacted the guy and they talked about the phone a little bit and then where the guy gave my friend his number.

- their whole texting conversation with his number (the one my friend got from their Facebook conversation) and car make and color Included in the conversation
-the guys name and Facebook profile
-proof that he blocked my friend after being confronted
-screenshots guy trying to sell this iPhone 5 on his Facebook timeline and in other group pages

Can he open the iPhone now? I guess the iCloud account of the previous user is still logged in and he reported the phone as stolen so it will be locked until you type the right code