Protecting integrity of the league should be number 1 priority for any gaming league, not instantly banning someone for not following AC rules 3 times as per a well established and acknowledged league rule/punishment system is one way to ruin the integrity of the league.
I don't think for a second Thaigrr is a cheater but it's not a good precedent to set in such a high profile occasion. The argument to delay banning people to protect the competition is secondary to the integrity of the league, full stop and if you think this is a good idea you should resign as Head Admin because you're clearly not fit to run a league.