Google algorithm updates were released recently, penguin tackling unnatural links and panda tackling content, I haven't had the chance to look into your website but if KP says you have thousand of the same keyword anchor text links then it is probably penguin.
Originally Posted by gezzagregz
To give you a better idea here is a list of updates (thanks to fathom who I just c/p this from another thread), maybe you can match a date.
PENGUIN 1.1 - May 29, 2012
PENGUIN 1.0 - April 24, 2012
PANDA Refresh - June 8, 2012
PANDA 3.6 - April 27, 2012
PANDA 3.5 - April 19, 2012
PANDA 3.4 - March 23, 2012
PANDA 3.3 - February 27, 2012
PANDA 3.2 - January 18, 2012
PANDA 3.1 - November 18, 2011
PANDA "Flux" - October 5, 2011
PANDA 2.5 - September 28, 2011
PANDA Global 2.4 - August 12, 2011
PANDA 2.3 - July 23, 2011
PANDA 2.2 - June 21, 2011
PANDA 2.1 - May 9, 2011
PANDA 2.0 - April 11, 2011
PANDA (Farmer) - February 23, 2011.
Recently Matt Cutts is quoted as saying
So maybe you will have a tool to make the removal of inorganic links easier in the near future.. maybe.
some have suggested that google could disavow links. even though we put in a lot of protection against negative seo, there’s been so much talk about that that we’re talking about being able to enable that, maybe in a month or two or three.
thegodfather may well be right and you're sending yourself to the bottom of the queue every time you reapply for your reconsideration, so just wait.. & I would take KP's advice and start a fresh site and learn from your mistakes whilst you try and salvage danbro.
I am always ready to learn although I do not always like being taught. ~Winston Churchill