Is Find iPhone feature priority task?? Please clarify me.

Dear Apple Care staff and all concerned:
I am an Apple fan and really like your products.  I am now using an iPhone 4S.  I have learnt and tried a lot of functions, menus, systems of iPhone. Therefore, today I have a case study from my friend that would like to request more clarification to make me understand of an iCloud / find my iPhone features.
The story happened on 27 April 2014 (I will use my local time which is UTC +0700), I was with my friend who is the owner an iPhone 4s 64GB IMEI:
01:00-02:30 PM: I was told by her that her iPhone was stolen then I tried to enter her iCloud ID ([email protected]) and used "find iPhone" feature.  It was offline at this moment, I set lost mode enabled and forwarded her iCloud email to my personal for my convenience to check email.
3:39:59 PM: 1st mail received, from Apple and the topic is "How to reset your Apple ID password."
3:44:22 PM: 2nd mail from Find My iPhone topic "Lost Mode enabled on Rin (her iPhone's name)."
3:44:24 PM: 3rd mail from Find My iPhone topic "Rin has been found."
3:45:12 PM: 4th mail from Apple topic "Your Apple ID password has been reset"
3:45:44 PM: 5th mail from Find My iPhone topic "Find My iPhone has been disabled on Rin"
6:00-8:00 PM: I tried to enter her iCloud ID again, unfortunately, seem that password was changed by someone else.
I have tried my best to understand the situation above. but cannot figure it out.
Then around 10:00 PM, I tried "iforgot" to recover her iCloud password again and it came with an email (which is forwarded from her iCloud as it was set up by my previously).  I just clicked the link "Reset now >" and I can make the new password again. WoW... so surprise!!!
But now it was useless, the phone cannot be tracked  anymore.
This makes me understand something. I supposed the way, it can reset the password.  Is it possible how it was happened like this:
1. the theif use "iforgot" entered her iCloud mail by other computer to request reset password. (her iPhone didn't set a passcode, so anybody can see her email very easy)  and wait for an email arrive for 4-5 minute.
2. Connect this iPhone to internet and the mail came to app "mail" then he got "Reset now" link.
3. Password was already changed before lost mode was enabled.
4. Came up also with find iPhone feature, shown the position.
5. backed to iCloud ID and used new password to turn off find iPhone.
Did it happen as my thought? 
My point is, actually the phone should be enabled lost mode as priority task but seem that it was not, so theif can change the password intime before lost mode activated.  And I think that it is non-sense if it is what I said, also if I forgot the password, the system will send an email back to my same emailbox (I said I forgot my password). How could I enter to my box to check and click the reset link????????
Could you please kindly clarify me more about this case?  Anyway to disable this phone by IMEI?  or put it into iCloud lock after restore or update firmware?
Please note that I am sorry regarding to my poor English usage as I am not a native English speaker.  I appreciate everyone who tries to read and thank you so much for your understanding.
Regards,
ambluno

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