This is good or bad news depending on who you are, where you come from, and what Xbox Live account you use to access new content. A report from Gamasutra indicates that Xbox Live dummy accounts won't be banned, but they will be getting restricted access.

While our earlier coverage was speculating as to whether fake accounts would be banned, indications now point towards something that won't be as bad as a ban, but might end up being just as bad for download junkies. Microsoft Europe is moving to block content downloads of US goodies among European Xbox Live members.

A statement by Microsoft's Chris Paladino on the Gaming Age boards explains the situation somewhat, though details are still missing for many people:

Details aren't all in yet - but I do know for a fact that we are not banning the accounts. We are blocking downloads in cases where gold accounts are being used to gain U.S. content in foreign marketplaces.