What came of it was that he's violated Google's ToS, as confirmed by a number of employees. It would be nice if he was innocent, but he's not, so the story is meaningless.
No, the point is that its irrelevant that he violated ToS. Google should not unilaterally wipe a user's data without providing a chance to retrieve it. I'm sure the ToS lets Google delete an account for no reason whatsoever. That doesn't mean it isn't evil to delete a user's data.