From some of the blue posts I read on the forums, it seems the permanent bans were being issued to accounts that had already moved far enough along the penalty volcano to warrant that action as the next step.

Enough other people are getting suspension and strip without perma-ban that the volcano explanation seems likely, so I'd doubt the accounts had no previous action against them.

It isn't as if Blizzard hasn't been hinting and ramping up their displeasure of people who have been scamming the system. They have been warning and warning and warning for months now. My read on the whole thing is that for months Blizzard has been saying, "Straighten up and fly right or else." The "or else" finally happend. They have given everyone involved ample time to police themselves.

People have grown used to "cheat codes" for video games since gamers have been adding them as part of the game for years. That has given a lot of gamers the opinion that as long as they forked over their cash that they should be able to do whatever the heck they want. WOW doesn't have a GOD mode. The whole point is to offer a level playing field for people to succeed or fail on their own merits. Scamming the system is entirely contrary to the essence of the game itself.

I have no sympathy for anyone who has been banned. They were warned. A lot.