Honestly I don't think Krejlooc was in the wrong here, but I suspect a big part of this ban comes from his history of just being kind of a jerk, even when he's right. He's one of my favorite posters, but he's a jerk sometimes, at the drop of a hat. If he didn't have that history, I doubt he'd have copped this ban, but I won't speak for mods here. If you repeat the same behavior too much, bans start coming in hotter, which also means they'll sometimes happen during situations where another poster might get leniency - like a warning or a blind eye. Similarly, if you make people mad by being a jerk around the forum from time to time, your heated posts will get reported more often.
Reporting posts definitely works. People should do it more. And people should also remember that that's why it always pays to take the high road and click the report button instead of getting heated. It would make the whole forum a better place.