i am not sure about this but my be so, because i think about every currency of the world my be used for illegal activities, like people may have use USD for buying drugs or guns so may be people are also using bitcoin for different illegal activities.
you are right that we can not blame to bitcoin and any currency can be used for any type activity so its depend on people good people will be use any currency for good activity and bad people will be use their currency for bad activity.
What you said is true that it all depends on people intension. But bitcoins has given an opportunity for bad people to do this kind a transaction anonymously and that is the problem with bitcoins. All these activities was going on even before bitcoins were there but now for them it become easy way to do the transactions.
You cannot control them as they are in charge of their own lives, even me I am doing illegal things like gambling because it is ban in our country but sometimes it can only be justified since I do not hurt anyone with my activity, I have fun in gambling although it is illegal and I will not be caught since bitcoin is anonymous.
If it's illegal, have a reason, for example USA banned pokerstars because people lose money playing poker... So, in the government mind, is better ban it, so people can spend the money in another things.
Maybe your gambling is hurting the government
