Well, it would make some sense if a "falsely" banned person, anyone actually, should apply for a ban appeal. So, a "perm" banned person should still be able to appeal the ban but that should determine whether the person can pardon or not and told that the ban is permanent.
Now, there are times when those that are accidentally or falsely banned and file an appeal on the ban, they should be given the option to file a pardon if they don't get enough votes.
There should be a distinct difference between a banned person and a perm banned person. Also, there should be a "3rd strike you're out" for scams. Obviously, all bans should be dealt with accordingly on a case by case basis.
So, if the flawed pardoning system was corrected, the idea to auction off perm banned members ranks is not a bad idea at all and it would greatly benefit Sythe.org.