No, Microsoft same as any other US big internet company has to cooperate with the NSA, dont think they or it will be blocked just because it was accessed from already known 3rd parties (if you can speak of 3rd parties in that case :DD)
ui lost now. someone hacked your account... or tried and now its locked. Eventually there is a mechanism that prevents to insert the security answer multiple times. Useful feature, but hey c'mon they should be able to unlock it.