Using the Council to make his own discord, then advertise it as a place to talk to the Council was an issue - and it was unmoderated and full of problematic discussions.
The rest of the story - formatting is better if you read the linked post. It has a quote in it and stuff that does not display right in the preview.
And yes, he did reply stating that the summary there is accurate.
Further 1 person was removed out of 40. Not “20% of the Community Council”. He was also not banned from the game or forums.
The penalty tends to start with a Silence removing them from social functions and group tools. However, it can include a Suspension, and even a game ban if bad enough.
Here is a recent example of someone complaining they got a Suspension they felt was unjustified. Forum Support Agent pointed out that yes, it was justified for ongoing harassment. They also went over the increased penalties for chat violations. It should answer some of your questions about the current reporting and punishment systems.