Haha... like anyone would click on an ad to buy something, when they're at a warez site stealing everything for free =P.
One of our product is hosted on a upload site (passworded rar archive containing version 1.0 of our product + crack for it). This is a real content of that page, there is also some pseudo text generated as well and google ads. The password to the archive is given on a Russian warez forum with a link do that download page with Google ads. We have reported the file and requested removal from the owners of the site. No reply. So I emailed Google wondering if they have anything to say. No reply from them as well (it was month ago or so). The warez site still happily hosting my software with a crack for it and serving adsense ads on that page. This is some big upload site and it seems Google enjoys the money they earn for them.
Unfortunately there will most likely be a ban only when the site hits $100 and gets a review (before payment)