Websites like ehow.com,hubpages.com or associated content .com etc almost every website is welcoming the user generated matter and earning dollars out of them.Through adsense and other advertising networks.Multi user blogs,articles websites and forums are using this formula to extend themselves and become very big.Resulting in better revenues and traffic.

What about if a user submits adult pictures or abuse content(racial,sex related) or anything which is illegal and banned according to adsense tos.

I think if you are small publisher then it is better to have control on yourself,find out what adsense blg have recommendations for the webmasters which are following this method.

Publish the content of clear guidelines and policies that your users will need to take to register and use your site services – SO you should be clear in what are your content guidelines they should include all the tos of adsense and user should be aware of it.

Try not to publish ads on that part of website which contains adult or other illegal matters : If your photo or video sharing site where users can upload adult or non-compliant content, the structure clearly content to avoid your ad code into sections / categories with this type of content. The same idea can easily be applied to on-line stores with adults or advertise on sites that adult dating ads.

Ask user to tag the content as adult or non family : This will contribute to human assessment of potentially inappropriate content for the AdSense ads. You can also try to install filters for keywords related to the content of the adult themes, violence or drugs

Install some protective shield for your forums,blogs and guestbooks such as spam protection plugins.

Monitoring

Establish a way for your community to monitor itself. For example, try adding a “Report inappropriate content” link to your site that users can flag content for your review.

Proactivily review sites, videos, photos, etc. together on a regular basis.

Random checks of the content based on keywords or content of user accounts. For example, try for keywords related to inappropriate content in their own search engine and check the results. Alternatively you can also search on Google.com using the following parameters to replace ‘example.com’ with your own website URL and ‘keyword’ to a particular word or phrase: “site: example.com word. you can also try google for it.

Create an editorial policy and performance of the moderator in control of their comments, forum and guestbook section.

Well these are really nice tips and will help you to keep your adsense account safe though i have seen many websites violating it.Please submit such pages in our comment section we appreciate your hard work for it.

Check this one from hubpages there are many of it on hubpages

http://hubpages.com/hub/Thigh-High-Stockings