I don't know what route you took to decide that this form of advertizing is "the best" for the user. Do you really think that waking me up in the middle of the night to look at an advertizement is good for me as a user?

You contrast it to TV ads. With TV ads, I know what program the ad is sponsoring. My TV doesn't click on at random times to show me ads just because I have something saved on my PVR that I never watch.

I'm very glad your app got yanked, and I don't say this lightly, I am still divided on the idea of a moderated app distribution channel at all.