Xbox Live celebrates Halloween with a banning

Microsoft has announced today that they are setting their sights on Xbox Live members with a modded Xbox 360. And by setting their sights on, I mean they are issuing a massive banning.
A Microsoft spokesperson said the following to IGN:
“We have taken action against a small percentage of consoles that have been modified to play pirated game discs. In line with our commitment to combat piracy and support safer and more secure gameplay for the more than 20 million members of our Xbox LIVE community, we are suspending these modded consoles from Xbox LIVE.”
So, any of you readers with a modded Xbox 360 notice that you can’t log onto Xbox Live anymore?