Horror stories like this one crop up every now and then. The other time they locked all the G Suite accounts of an entire company just because one of the employees has made a couple of bad chargebacks for some Android apps on his private account that was supplied as a recovery email for his company account. And they didn't even provide a reason, the company had to investigate and find out on their own.
This comment is a great example on the effectiveness of spreading unsubstantiated FUD.
Last discussion: https://news.ycombinator.com/item?id=17115643
Google response: https://www.reddit.com/r/google/comments/8l231x/google_banne...
> The original poster on Reddit (OP) did not identify him/herself or the customer account. We have made several attempts to reach out to the OP through PM, but have yet to receive a response. (If the OP or someone from his/her company is reading this, please get in touch with me. We have tried to identify the customer based on the information in the original post, including an extensive review of recent support cases, but have not found any cases resembling the description.