I have 2 domains that I bought from a dropped domains list about 18 months ago. Each had exisiting PR and backlinks, and they did well for about 6 months... then bang! They both were removed from google and had PR0's
I wasnt too stressed about it... was a risk I took, so I removed the majority of links I had to them (in case their banning somehow effected my other established sites)
I pretty much forgot about them... then 2 weeks ago when google updated... both have been reindexed and regained their original PR's
so even though I did nothing to help them out, they did eventually recover... took about 12 months I am guessing
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