random erlang code from the internet

gistfile1.txt

     loop(Users, N) ->
       receive
         {connect, Pid, User, Password} ->
           io:format("connection request from:~p ~p ~p~n",
                     [Pid, User, Password]),
           case member({User, Password}, Users) of
             true ->
               Max = max_connections(),
               if 
                 N > Max ->
                   Pid ! {ftp_server, 
                            {error, too_many_connections}},
                   loop(Users, N);
                 true ->
                   New = spawn_link(?MODULE, handler, [Pid]),
                   Pid ! {ftp_server, {ok, New}},
                   loop(Users,  N + 1)
               end;
             false ->
               Pid ! {ftp_server, {error, rejected}},
               loop(Users, N)
           end;
         {'EXIT', Pid} ->
           io:format("Handler ~p died~n", [Pid]),
           loop(Users, lists:max(N-1, 0));
         Any ->
           io:format("received:~p~n",[Any]),
           loop(Users, N)
         end.