It could!
According to this other blog entry, a completely innocent person has had their Amazon account closed. Which would be very inconvenient for anyone, but if you just happen to be a Kindle owner with a fair number of ebooks purchased it will be somewhat more than inconvenient.
You could believe that the person involved was involved in some sort of activity that Amazon didn’t approve of. Perhaps they were an anti-DRM activist of some kind; perhaps they accused Amazon of some under-hand business practice, or perhaps they just belonged to the wrong political party. Who knows? Amazon’s response to the situation is standard corporate double-talk designed to say as little as possible.
Conventionally, Amazon has a perfect right to cease doing business with anyone for whatever reason they choose. But removing access to purchases (such as Kindle books) is a whole different ball game.
At worst Amazon is guilty of theft and at best they have brought further disrepute to the whole DRM system.