I don't know who are you speaking about. I don't see anyone who got docked 1000

of his.
And Draug, you are allowed to rob a guy, when you take back your own property. If he stole your wallet, then it's not a crime to steal it back. You really don't get the principle of an act made by other person authorizes you to defend yourself and therefore overstep the law. Self-defense, avoiding accidents, saving lives, and so on. Many many cases in which you can step out from the boundaries of law, because there are exceptional cases.
When a game is illegitimate then you can't cheat in that. It's impossible. If your opponent plays poker with marked cards, then why would you consider not paying him the pot as cheating? He doesn't have the right.
About site rules: those are a different issue, those can be broken regardless of the game. Like bo_sox and FD got banned, it was breaking the rules, but it wasn't cheating.
Cheating: by definition is taking advantage by breaking rules.
breaking rules, on the other side, are just breaking rules.
If you are speeding on the street that's breaking rules.
If you are speeding in a street race, where you are supposed to keep the limits, and you win because you broke speed limit, that's cheating.
Do you understand the difference now?