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I use my Xbox 360 console fairly and legally. On September 13th, I was issued a permanent ban from the Xbox LIVE service, and the email I received simply said that I was guilty of "Marketplace Theft" and that customer service is not authorized to help. I searched the internet for a solution and have found that many (innocent) people are suffering from the same circumstance. There is a forum on the Xbox website that involves appealing bans, and in this forum is a recent announcement by one of the official "Xbox Police" that states any mention of a ban for Marketplace Theft will be ignored and that we (the ones who are banned) are guilty and should accept our punishment.
In short, Microsoft is punishing innocent people for a severe violation (and crime) and will not provide any details or communication about these actions, and the small amount of communication is rude and offensive. Microsoft also refuses to reimburse its customers for the time they had remaining on their subscription; under normal circumstances this is understandable, but for a mass (and seemingly random) ban such as this it is unacceptable.
I don't think my terms are too unreasonable. I'd like to have my account unbanned. If Microsoft refuses, then I want to be reimbursed for my current subscription, as well as everything that I bought over Xbox LIVE over the course of my current subscription; I am no longer able to use many of the things I have purchased in my history as a member, so I don't think it is too unfair to be given back what I bought during my current subscription period, a mere fragment of what I paid for (and can no longer use) in the four odd years I've been a member.
If anybody else gets banned for Marketplace Theft (and is innocent, of course) here is a petition to sign.