account blocked email received everytime an account is updated

I looked in the module code and in my opinion the bug can happen only in this part of the code :

function user_status_user($op, &$edit, &$user) {
  switch ($op) {
  case 'update':
    if ($edit['status'] != $user->status) {
      $notify_site = variable_get('site_name', 'Drupal');
      $notify_loginurl = url('user', NULL, NULL, TRUE);
      $from = variable_get('site_mail', ini_get('sendmail_from'));
      $headers = "From: $from\nReply-to: $from\nX-Mailer: Drupal\nReturn-path: <$from>\nErrors-to: $from\n";
      if (valid_email_address($user->mail) && valid_email_address($from)) {
        switch ($edit['status']) {
        case 0:
          if (variable_get('user_status_blocked_enable', FALSE)) {
            return user_mail($user->mail,
                             str_replace(array('%site', '%user'),
                                         array($notify_site, $user->name),
                                         variable_get('user_status_blocked_subject', user_status_blocked_subject())),
                             str_replace(array('%site', '%user', '%loginurl'),
                                       array($notify_site, $user->name, $notify_loginurl),
                                       variable_get('user_status_blocked_body', user_status_blocked_body())),
                             $headers);
          }
          break;

So do you have any idea why it behaves like that on my website ?

in fact to be more precise, I think the problem is on this line :

if ($edit['status'] != $user->status) {
............
and then :
switch ($edit['status']) {
        case 0:

since it is because the module thinks that I've updated the status (when I just make profile changes) and that the status is now UNACTIVE that it triggers an email for account blocked!
So is $edit['status'] really a good variable ?

Still on RC1, I tried your change and it works as it should, thank you!