"You heard," is total outlier cases. Many who earned Diamond Plus (or above); such as myself only during multipliers have had no issue. It's a benefit that has a value of $100 a day ($25 x4), but probably less realistically. The best thing, is you can use it for your coffee drinks in the AM at some decent places -- which I also find of value, since I don't always need free alcohol and I would be spending on coffee drinks (or using comps/getting comp'ed) anyway. It's a solid perk, if you spend at least 5-20 nights in Vegas and use the perk for a number of those nights.

Being restricted by Caesars is something that impacts a very small number of people. Usually people who are using excessive comp/marketing nights or things like drink coupons an excessive number of days. For example, 75 to 100 comp nights and using drink coupons for 40-100 days. For sure, this impacts a very small sample size, and it's understandable that Caesars restricts them, since their play is not at any level consistent with what earned them the benefit for that many gaming days.