Because they pollute the real results. If you write your content for search engines and not for users then it's bad content.
SEO is just another form of marketing. It is no more/less legitimate than PPC campaigns. In fact, PPC ads are far worse because Google does little to police them. As long as Google makes money, they don't care if you scam users. That's why they paid half a billion dollars in a settlement to the FTC for knowingly selling illegal pharmaceutical ads.
In the recent year or so, I have been pushed to 30+ place and top 10 results are completely useless junk websites that contain all the SEO and keywords, but really, really shallow information. I guess someone used Mechanic Turk or Fiverr to get someone to write about it for $5 and then slapped all the possible SEO stuff and now ranks well and earns money from AdSense.
Or maybe I was just punished because my website does not have AdSense on it...? I hope not.