Well, that settles that. Thanks GG.
I think your answer here will save a lot of webmasters a lot of time and point everyone in the right direction.
Instead of trying to figure out why our web sites were penalized we can focus on how best to present our web sites now.
If Google is indeed seeking to rank web sites based on LSI (CIRCA Technology and Applied Semantics) and traditional PR value along with themes that can be applied site-wide and not just for 1 particular page, Google will be lightyears ahead of the competition.
The trick is in finding the right mix which will satisfy the public's need for relevant results without having to plow thru tons of spam on the way. Therefore, depending on how Google applies its ALGO and weighs semantics/themes to traditional methods of providing SERPs it seems like individual pages could only be relevant to a search if the total site were in harmony with the individual pages.