Judging from how you're a Boards newbie since you've only started visiting this site 5 days ago, I guess it's sensible enough that you have close to no knowledge of how judgement goes around, including how I used to judge permabanned players long in the past.
A lot of people has already answered OP's problem: He was uselessly spamming Cap words at him as an irritation, to both the Olaf and his teammates. Muting the guy only removes the annoyance & is still able to report him.
Additionally, it also seemed that he has already been punished before in the past, which is a chat restriction. What doesn't add up is his next punishment being a permaban.
So this means either two things:
- Was it another error from Riot's side to jump into a straight permaban?
- Or was OP hiding vulgar words to look innocent? Because vulgar words like the N, f'ggot & KYS is an instant permaban.
I really can't say much about the latter, and hopefully Riot Tantram would come & shed some light to the issue. Who knows, I "can" be wrong about my previous statement...