I agree with you entirely. It is also my supposition that Yahoo does not actually re-review any site. If your site has been penalized it is a death sentence and no amount of changes you make to it will make any difference. It was wishfully thinking on my part that perhaps I was wrong, and that perhaps other webmasters here have actually been successful in having their site re-reviewed and back in the rankings.
What I find even more frustrating, is that Yahoo are ambiguous about exactly what your site has done to begin with to break the rules and be in violation of their guidelines.
I know that my case, my site that has been penalized for no apparent reason other than ranking too high organically. This site is no different from my dozens of other sites successfully ranking in Yahoo. The only difference is that this particular site ranked too high for a major money making keyword.
Therefore, it is my supposition that if you have a site that ranks too high organically for money making keywords and that is not signed up for SiteMatch, Yahoo purposely hits you with a penalty. This is a sure way to give precedence to SiteMatch sites that do make Yahoo money. A naturally ranking site in a money making position takes up valuable position and money away from Yahoo.
So this leads to one other question: Have any webmasters that have had a site penalized by Yahoo been successful in getting back into the rankings by signing up for SiteMatch?