I think reading a story very similar to this put me off buying a Kindle before a few years ago so it's not a unique story, as I understand it if you're unlucky enough to have someone living or lived in the same building as you who has been banned, you might get banned as well.
I don't think that guy ever managed to get Amazon to reverse it, once you're banned it seems you're banned forever and lose everything. I think in the case I remember it was due to a family member
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