What trouble did the rumors of the Knights Kingdom cause? The very day that Jake was saying not to act on rumors in his statements on Lugnet, the UK LEGO Magazine was publishing pictures of the upcoming sets that were pretty much in keeping with the rumors. So it was a question of a huge uproar over the rumors of these sets versus a huge uproar over the actual release of these sets. Yes, there was some extra noise generated by the inclusion of the "these are just rumors, wait and see" type posts, but the rest of the uproar would have been unchanged if it had waited until after the official release of the photos.
The problem is that some LEGO fans acted irrationally when the KK sets were leaked. It is true that this could have happened when they were publicly announced. However, LEGO generally talks about their product when they release it publicly.
To quote Jake McKee
There is a new Knights Kingdom series coming next year, which does include what we call “constraction” (constructible action) figures...
They are a new dimension to the theme - an addition - which we believe will help draw even more kids to the Castle theme.
Spreading rumors denies Lego the ability to correctly announce the details of upcoming products. Talking about rumors, in my opinion (and the opinion of several other admins), is a waste of time when we could be building. I never thought that "system castle" was ending.
The admins think that we should not allow "leaks", especially castle leaks, to be posted on CC. This is not unreasonable. There are other ways to find this information.
CC would like to work with LEGO in the future (if they are willing) for Castle Set previews, the way that other theme specific sites do, such as FBTB.net and ILTCO.org. Why would LEGO want to give us special features if we leak or link to leaked information? We believe that future collaboration with LEGO for local castle lugs, event support, and set previews is quite possible due to the popularity and growth of CC.
I hope this provides some insight into our decision making process.