First, April, why'd you have to make personal attacks on me? You don't know anything about me. You don't know whether I have experienced identity theft or not. You have no idea what I've been through in my life. I was asking a valid question, in genuine hopes that I could help you from a legal standpoint. I'm not so concerned with that anymore.
In reality, it's not the photo itself that caused the problems with your relative - it's the caption YOU put on the photo and the other information that YOU put in your tree about a living individual. Correct? I think you even said yourself that if the person would remove the caption from the photo, you would let them leave it up, right? This validates my original questions.
Then first, SHAME ON YOU for putting sensitive information like that on your tree - public or not. Regardless of Ancestry's promises, it's technology. It's going to fail. And as has been pointed out SEVERAL times on this thread, Ancestry's privacy protocols where living individuals are concerned as poor at best.
And why, for Pete's sake, has it been three years and you are just now reporting the person to Ancestry?? Your original post said, "I noticed my error within weeks and removed the photograph immediately ... " and "Finally after 3 years, I've reported this person to ancestry, hoping they can force this person to remove the photograph." (Which is interesting because your profile says you've only been a member since Sept 2010).
You need to send certified letters (return receipt) to Ancestry's VP of customer service, the CEO, and their VP of public relations (and any other VPs you can think of) to get this member to take the photo and other identifying information down. At least then you'll have some tangible evidence (the receipts from the certified mail) to show that everyone at Ancestry has been notified about this violation of their Terms of Service and did NOTHING. Stop calling. Everything you do from here on out has to be in writing.
You should also be thanking your lucky stars that the - not one, but TWO - family members whose identity were allegedly stolen because of this errant photograph aren't suing the crap out of you right now. They would be justified. And they would win.