After doing some more research, I have found out that a member of mobileread was actually affected back in 2009:
The OP actually ended up getting his account reactivated and was able to access his kindle content, but the reason for his ban was due to "high returns."
My situation, I was linked to a closed account that was closed due to 'abuse of policy.' I still don't know what the account was or what policy that abuse was, It just doesn't make sense.
I hope this all gets sorted out soon, thanks MobileRead community for helping me