Just to clear up some myths about reporting (this was all released recently by the xbox "police" team's leaderStephen Toulouse).
"They just ignore friends reporting" - The xbox team have just released an announcement to say that they do infact look over every single report they get, and review it by hand. They currently have enough staff that they can completely every report within 24 hours of receiving it. However, they do need some evidence and don't take things out of context - for example, if it's a voice message, they can listen to it; but they'll also listen to the messages you sent to see if you provoked them.
"Just keep reporting" - There is a system which prevents multiple reports from even showing up - if there are two duplicate reports from the same person, only one of them actually goes to the xbox team: don't waste your time by spamming the button.
"They need a certain number of reports before they do anything" - Unlike other services, xbox live DOES NOT use a set number of reports to ban somebody - they review them all and so if a single one shows somebody is in breach of the TOS, they will punish the offender. You don't more than a single report for action to be taken.
"Boosting isn't cheating" - According to the xbox TOS, it is. Anything which involves gaining an unfair advantage or exploiting the game in such a way that it is detrimental to another player's experience is considered a violation and can get you banned. However, it is extremely difficult to tell the difference between boosting and a player who has just pwned the match (when all you see are the numbers, not a recording).
"Boosting isn't wrong" - Seriously? Get the hell of these forums, and burn your xbox. You don't deserve an opinion.
Hope that clears some stuff up - here's one of the official releases that explains it as well:http://kotaku.com/362810/the-xbox-live-police
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