If you resubmit through creating a new app, it goes to a different reviewer. Be sure to change the name of your old app before you delete it, so you can still use the app name under the same account. Sometimes the new reviewers are more understanding/ might not see a problem with apps that have been rejected before.
E.g. my HN iphone app was rejected 2-3 times for "webviews stuff" or whatever. Once I resubmitted, it had been approved the first time, plus it's been received well by users.
I thought it was a brand new app, but since it's an update. You can try to resubmit the same binary and hopefully that will trigger a different reviewer.
