When questioned, I respond that they violated the ToS by stating that they violated the section containing those clauses. I do not provide any evidence and then state, "we'll return the deposit though."
Fair, or not fair?
It's fair because the user agreed to those terms of service upon registration, and their deposit was returned so they didn't actually lose any money. It's an open market and the player has the choice to use other sportsbooks in the future. If players feel treated unfairly by Sportsbet then surely they will switch to their competitors, resulting in the loss of business for Sportsbet. In this instance - as many of the sudden influx of others as of late - no wrongdoing was done by Sportsbet, and the free market will sort it out.