It tricks you to click on the ads Lot of people that are not experienced with internet will see the ad block as navigation menu of that webpage
While it wasn't not long ago, I'm pretty sure its changed to not allowing the images now. I don't know where in the TOS it's quoted like that. Maybe it was on the adsense blog
It's in the blog which is not a good thing. Well, it's good that it's there, however it really needs to be codified into the TOS and the Policies for it to really be official. There should also be a few examples of what IS allowed shown as well.