I'll tell you a short story.
Yo know the code of Hammurabi? It's considered one of the firsts full legal text found in history (in tablets). It introduced (amongst many other things) one simple concept, it is the "Eye for an eye".
By today standards, "eye for an eye" is a barbaric idea. In fact it could be. It stated, for example, that someone who robbed something (p.e. grain and food to eat) must have his hands cut. But the thing is that the code of Hammurabi is revolutionary itself and indeed a really good legal test if we take circumstances ant timebeing into account. Why? Before it existed, the legimate owner of the grain could punish the robber in the way he wanted , which often ended in public judgement and public death. The code just established what they considered -at that time- fair punishement for concrete faults.
So the question is: are we punishing cheaters hard enough??? I mean, they're banned for life with their account (we cut their hands). Do we want them to have the "cheater flag" forever because they made an error (some of them probably just "tested" the cheat")? Do we want to KILL them, like it was done before the Code oF Hammurabi existed (and that was around 1700 a.C)
I don't support cheaters, in fact i haven´t tried a single one in my life (gaming since the beggining of the 90's), but I'd say cheaters have had their punishement. Some of them will buy another key and will continue playing. In my opinion, most of them won't cheat anymore (at least in this game), some of them are just assholes and will go on (and they will eventually get caught again). But to the first group, those who made an error and just want to go on playing without cheating and have taken responsibility on their actions (they paid with the ban), if would be really unfair to have that "Cheater Flag" forever in our little community.
This said, please dev's retain their ip's. If they ban for a second time, I would agree to make them public and thus receive hard mob punishement.
But please, do we want to be harder than "pre 1700 a.C" citizens?