What it is referring to (the 74,000 names suspended) and the 400 registrars are actually only 3 UK based front companies.This came to light shortly after the sunrise and landrush period and the euRID has finally taken action.
Additionally, I read quite some time back allegations of front companies set up here in the US that regged 300,000+/-. Supposedly, this was only about 12 individuals. I have been waiting to hear a resolution on that but have not thus far.
Because there has been and continues to be such widespread abuse, they seem to be cracking down on the spammers and the abusers, albeit a year after the fact.
But even some of this storyline is confusing:
"...European registrars for the ".eu" domain will be able to immediately stop the transfer of ownership of a domain name if it's suspected of abuse.".
Having the registrars police the domains for them? "Suspected" of abuse? Does this apply to only European based registrars? What about US based registrars (ie GoDaddy, Monikers) that have European customers?
"...will make it easier for investigations into activities such as spam, although the Web site can still function."
That statement has totally lost me. So you have someone abusing or "suspected" of abusing the .eu but they can still function.
The whole .eu thing was a mess, is a mess, and continues to be a mess. Because of such poor handling and issues like this, I am not sure the .eu extension will ever gain the respect of the industry. It was a good idea that was so poorly implemented and monitored from the onset. Hundreds of thousands of names are still in contention.