One, I think that the notion that cheating is new is... naive.
Two, as to csThor's post (no mention of my reply before regarding maps?
), there is a place for mods in the online world in the aspect of reality that you allude to.
One problem we see is that planes have a wide array of loads available, and the servers really don;t have a good way of controlling player load CHOICE.
So we have Zeros with 250kg bombs, even though that load was simply not used except for suicide planes. As a result, online (DF) you see bombed up Zeros all the time at the expense of Vals. The US planes are worse since they all had HUGE (by japanese standards) bomb loads. Why take a bomber when you can take more bombs (and rockets) in a fighter bomber?
Heavies? Not even possible without having cockpits off, which is far worse "cheating" than the theoretical plane with the HP increased a few % for an "edge" that is talked about (but unavailable as a mod).
Mods could add variant planes that are unchanged except deleted loads. Pure fighter US planes, for example, naught but their guns and drop tanks. Ditto japanese planes (or whatever side). Sticking a b-25 cockpit in a B-17 allows cockpits-on servers to have heavies. Given good mission design, targets can be set up for a sort of area bombing that requires loads of bombers (ZvW has messed with this, and you see bettys used).
There is certainly room for online improvement with careful additions, IMO.
The trust factor is still there, use honorable squads as a baseline, and play with them.
<EDIT> well said (and entirely true), Urufu!