Stupidity: At the end of the film, the Rehabs recruit gang members and give them all kinds of guns from shotguns, handguns, and automatic weapons. The cops and deputized citizens have similar weapons. But for all the shooting, not one gang member is hit and only one citizen appears to be shot (aside from the three blown off the building roof by the Rehab tank.) I don't think anyone has any bullets.
Stupidity: Dr. Cocteau's choice to unleash an enhanced Simon Phoenix without any way to restrain him is incredibly reckless and stupid. Even if Simon were to kill Eager Friendly, in the best case situation, you'd still have a madman with total computer access, martial arts knowledge, etc., that you would have no way to rein in. Sure, he can't kill Dr. Cocteau, but what would stop him from say, holding the city hostage or something? Why not add in a kill code or something to keep him in check?
Suggested correction: Who says he didn't? Cocteau has put in mental conditioning compelling Phoenix to kill Edgar Friendly and make him unable to kill Cocteau. Who says he hasn't put in something that makes him kill himself after the deed is done? Or perhaps paralyze him so he can be put back on ice. It's just that Cocteau didn't count on the fact that his henchmen could kill him. He doesn't care about how dangerous he is, not until he has done the deed.
Dr. Cocteau is a narcissistic egomaniac type that would see himself as a king or a god, even. And Simon is making him very angry. He even tells Simon, "you're beginning to be more trouble than you're worth..." Someone with an ego like Cocteau wouldn't stand for Simon's antics for very long. And would happily enjoy putting Simon back in his place by shocking, paralyzing, etc.
But he first needs him to kill Friendly. Until he does that, he'll let him play. He still sees no danger to himself.