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I dont really like this terms to be honest especially if the casino know that gambling is banned in some countries, the casino should also put those countries into their restriction list and not accepting any players from those countries. This is not a friendly terms for players especially for players from countries where gambling is banned/illegal like me. Banning the account is fine due to this reason is fine but casinos should not use this terms to forfeit winnings/balance of the players.
I also don't get why online casinos still accept registration from a country where they have gambling restriction. Not all people is aware of such rule and could register to their website.
Upon registration, they should made a popup warning where it says if you're a citizen from a country where gambling is prohibited then they have no responsibility to your account and will not be obliged to help you on your issues.