first time I read this I think I may have misunderstood, however, upon reading it in the article, I get the impression that its not the person being suspended who gets their negative/neutral feedback removed, but the people they have left negative/neutral feedback for (e.g. some scammer tries to buy your phone, you cancel the auction, they leave -ve feedback, 3 weeks later, they get suspended, the -ve feedback they gave you is removed)
Makes Sense

I don't use ebay any more... I haven't in years really since my Paypal account got borked and closed due to dodgey proceedings apparently.
Too many horror stories puts you off from going back, and actions like the "Buyers can only receive positive feedback" don't exactly help matters.