It was my understanding that NiMH batteries need conditioning but Li Ion batteries normally do not. Am I mistaken?
No, you aren't.
Li-Ion batteries don't require much conditioning. You can use them as needed. The downside of Li-Ion batteries is higher resistance than NiMH (making them less suitable for flash units), and slightly lower capacities for the amount of space used (again, making them slightly less suitable for flash units). Neither of these downsides are problematic when using them in a camera body. The only time you need to do anything special with Li-Ion batteries is when storing them or not using them. It's important to keep current flowing through the battery occasionally; once a month as a general rule. So if you don't use the Li-Ion battery at all, it should be fully discharged and recharged once a month (meaning, roughly, it's good to use the battery for one complete cycle each month). If you don't do this, the battery's capacity will drop faster than normal.
Something else to understand about charging Li-Ion batteries is the voltage of the battery depending on how much of it's capacity is used. From 100-80%, the voltage provided is roughly equivalent to it's rated voltage (so, 7V for a 7V battery). As the overall charge drops, the voltage provided drops as well, roughly logarithmically. This means that as it nears 0% charge, the voltage provided drops dramatically. On the flip side, when charging, you can go from 0-80% very quickly, but to finish the charge will take roughly the same amount of time that it took to get from 0-80%. That just has to do with the physics of the whole deal; I'm not gonna get into that. You probably didn't need to know all this anyway.
The reason NiCad batteries need this "conditioning" is that after some time, if they are not fully discharged/cycled, they develop crystals inside the cells and the overall capacity drops. This is easily solved by cycling the battery completely every so often. So, for flash batteries (which should be NiMH if you're shmart

; Sanyo Enloops are among these), you shouldn't take them out and top them up all the time. Just carry spares and be sure to discharge them completely every once and a while.
Speaking of which, I have a few sets that really need a good discharge. Shoot.