I get the feeling and i believe that it has to do with monday, i've seen slightly bigger amount of players on weekends. I don't play that often now, but basiclly it's been like that for years.
Regarding spawns, we can't help it. Noobs have eventually become a huge problem over the years, because server doesn't get to see a lot of people stay/become regulars. One of the features is certainly the spawnpoint near LVPD, where regulars use to rape every living thing for their stats. We have discussed this before and realized that removing these won't help as much as we expected. Littlewhiteys does not have nearly the same playercount it had before, which excludes the mentioned idea. Spreading players all over the map would make things even worse as people would have to search for others in order to have any fun, taking in consideration the fact there is always a few of 'em regulars patrolling nearby.
The situation you've explained is also not really new, it's that nobody thought for a second about it or just didn't want to make a big deal out of it. Surely there were newbies who saw no way of having advantage over others than installing cheats. This way we end up getting "self-made cheaters".
There must a solution for this, but deleting spawns near lvpd would not solve a thing.
Zai, the best you can do now is report if you catch anyone using illegal stuff until we come up with a better suggestion.