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I find the denial interesting.

It's quite obviously happening, and pg & co have regularly confirmed it. HN is heavily moderated, and the moderation is not particularly transparent.

You can argue that it's a good thing and it keeps HN nice and clean, but denying it is... kind of scary really.

When there reports that Adria had been fired, stories about it were actively removed because it wasn't yet clear whether it was true or a hoax. So it's already a given that censorship of some type takes place.

They seem to be censoring scandalous gossipy stuff like this and the Donglegate story. Out of good taste or some other motivation, I don't know. The problem is when you start doing that you open yourself up to accusations of vote-rigging, getting your buddies on the front page, etc. It's a bad road to go down but they're definitely on it.