Microsoft XBox Live XBOX Live total RIPOFF - Hidden Thieves, Internet

I won't say your son is lying because you really haven't said what your son told you, other than someone "hacked" into his account.  However, I would bet that your son has not been telling you the entire story.

It is possible for someone to "hack" into another account.  But your son may have been doing something to let them do it, and just has not told you that part.

Yes they(and really any of these on-line sites) can basically cut you off at any time.  But logically they would have a reason, as they are not going to cut someone off(who is paying them money) if they are following the rules.

So exactly what has your son said about it and how it happened?  Did he give this person any personal information?  How do they know this other person?  Are you sure there is even another person?

There is no real way to hack an XBOX Live account. To get a ban like that usually has something to do with altering the console itself, or trying to use a pirated game disc.  Microsoft's TOS clearly states that they WILL ban an account without warning or explanation if they catch you cheating.  Trust me, I have my own complaints about XBOX Live, but it seems like they're likely right on this one.  Better grill your son for some answers.