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Removing (not deleting) a folder from a project only removes one of the files contained in it and its subfolders. Each time this is repeated it removes one more file.
I can't reproduce this... What version of XS did you use?(I tried few weeks old version, current head, alpha...)
I would guess that this was caused by bug #39591. With Xamarin Studio 18.104.22.16801 if you open an android manifest .xml file into the editor and close it, you then get the same symptoms where removing (not deleting) a folder from a project removes one file only.
I'll assume it is a dup.
*** This bug has been marked as a duplicate of bug 39591 ***