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It's a perfectly acceptable excuse. They were literally asked to quit winning so many events at one point because everyone was fed up with it.
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Like Thallen said, no different in Alumni, a guild dedicated in sparring and winning many GST's. Should staff stop hosting GST's due to this? With the queue system installed, there's no way this "events guild" can win many events. Must have occurred during the period of the warpers. Since warpers are barely used, I don't see why you or any other member of the staff can't host events. Hell I don't mind having Trivia 24/7 since it can both be educational and productive for players aside from "Googling" it.