I haven't been on the same team as people I've ignored, but I've gotten the pleasure of beating their face in because they end up on the other team (or they've completely creamed me, but that's besides the point...)
At least I used to, though they may have updated it so you no longer play with ignored players (or there was an ELO shift on my side or theirs)

I have been queued with people that are on my ignore list, yes.

It hasn't been confirmed yet, but a possible future development is making your ignore list a personal banlist.

It has not been implemented yet.