I don't agree, this has been covered before anyway. Blizz has the right (see the TOS) to scan your systems memory and they would be able to see your running processes including Demonbuddy.exe Renaming the exe makes this more difficult. Anyway, if I want to rename the exe I should be able to do so as I see fit.
According to EULA/TOS Blizzard has rights to scan memory that has been directed for Diablo III or other games - through Warden.
They cannot scan entire RAM and even if they do, it's not base for banning people.