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Because Nominet had ulterior motives as did the complainant and the management of Nominet either got duped, fooled or failed to understand the impact of their actions.
Either way we've heard nothing more on it since so either a court case is pending, complaints are going through or all took it on the chin or or or or the tech is being put on another tag under someone elses name after legal advice has been taken (because even though Nominet make the rules and shut one service down they actually haven't a clue what constitutes breaking their rules and you have to seek independent legal advice because they're that bloody stupid and stubborn)