It can be a little confusing when you actually look at some of Google's own help Pages showing you how to setup AdSense on your pages. They give you various examples, one of which is blending the AdSense into your content. After all, who wants adverts on your website if it's going to make it look a mess. I think there is a fine line between blending your ads and blatantly trying to con people into thinking that they are part of your content. Anyway, I think people just have to be sensible, you know whether or not you're being sneaky and trying to make the AdSense looked like links, if so, you deserve to get kicked.