It's come to light even since I wrote this article that Moderator X was essential in moving the Nano forums from their old in-house platform into the new one (discourse) as part of the big 2020 website update. There have have been hesitancy to remove them because they had access to essential services (and also they may have been the only moderator working a certain section of the teen-only forums, from what I'm reading?). I guess if you're difficult enough to replace, people will bury your crimes for you rather than letting it get in the way of day-to-day operations!
At least the Board seems to care, although there's some speculation that their 'quick' response is somewhat to save face at this point. Also, change your password, Moderator X may stolen a ton of data on their way out: https://www.tiktok.com/@rebecca.thorne/video/7301369392959491374