it is very very hard to get banned from Xbox Live for the reasons ur talkin about (glitchin and team killing). i think it would be a good idea to hand out suspensions to people who did that but getting banned through glitching and team killing is very hard.
if u totally violate the terms and agreements contract that u agreed to in order to sign up for Xbox Live then its very easy to get banned.
like if u modded ur 360 even just for looks and u get caught (mom sent it in on accident while u were in school or somethin crazy like that) u would get tracked or banned.
if u get caught playin games before they even come out like Halo 3 for instance a ban will be enforced.
if u get caught makin illegal copies of games or maybe even playin them (i'm not sure) then u'll get banned.
if u get caught hackin into or stealin other users accounts then u'd also get banned. those are the major ways of getting banned/suspended from Xbox Live but i'm sure there are plenty of other ways. to answer ur question YES it is possible to get banned from Xbox Live...
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