Moderators (aka CSR which is the abbreviation of "Community Service Representative") are the people who work for Club Penguin and help keep it safe by banning players who have broken the rules. There are over 200 moderators worldwide. Five of the most known moderators are Billybob, Rsnail, Happy77, Gizmo, and Screenhog. Club Penguin moderators used to have a moderator badge on the upper-right corner of their Player Card, but this was taken off so moderators can be undercover. To become a Moderator, one must live near the New Horizon Interactive HQ in Kelowna, British Columbia, Canada and be over 18 years of age. The badge is identical to the letter "M" at the upper-right corner of the screen.
Getting banned by a moderator is when you get a warning that you are breaking the Club Penguin rules and the moderator kicks you out of the server. All known Moderators have confirmed that they are real moderators.