If I set that code to yes on my test site and upload as a non admin user I get notified of every single ad uploaded. Pretty much the same code as all our products we sent a standard email using a php string to the email on file in your global options in admin.
Code:
Content visible to verified customers only.
What kind of emails do you get from the system. Nothing is pick and choose so lets try and track down where you might be getting the error.
Are these non payment verified ads?