The integrity of the sport of showing dogs requires close adherance to both rules and decorum. Shows are competitive and disappointment forms a major part of it. People are human, make mistakes, or lose control over themselves. Some very few are corrupt, cruel, and unethical. Insofar as they threaten the integrity of the sport, they must be firmly dealt with. No one - judges, exhibitors, clubs, or superintendents - is above the rules of the sport. All are subject to investigation, suspension and/or fines if found in violation.
What trips the initiation of disciplinary action? One test suggested by the AKC is whether any scene or altercation would cause a family or members of the general public to conclude that dog shows are bad things. However, even scenes witnessed by one or two people can be prejudicial. Offenses are considered not against people but against the sport itself. Apologizing to an offended party may be held as a mitigating factor in a violator's favor, but it doesn't discharge the offense or the need to have it adjudicated.
Such offenses might include abusive or foul language directed toward a judge, show official, or another exhibitor or physical altercations. A public show of dissatisfaction with a judge's decision, like refusing to accept a ribbon or throwing a ribbon on the ground, can also be considered bad conduct. Mistreatment, neglect or abuse of dogs is also strongly disciplined.
There are plenty of other ways exhibitors can get into trouble, such as failing to control dogs, damage to hotel rooms or the show site, whelping dogs on the show site, exhibiting the wrong dog, substituting one dog for another, or artificially altering a dog - either temporarily or permanently. A list of offenses and penalties can be found here. Punishments can range from reprimands to lifetime suspension.
Judges can be investigated and sanctioned as well. Offenses include failure to judge according to procedure, showing favoritism, or for behavior prejudicial to the sport (like showing up drunk). One judge was recently suspended for three months for jokingly flipping a coin in a variety group ring to make up his mind between two placements. Exhibitors can complain in writing to the Judges Department at the AKC.
Clubs get dinged mainly for procedural matters, like submitting their judging panels late or having incorrect information in their premium lists. Failure to have a veterinarian either on site or on call is another offense. Superintendents can get into trouble for mistakes in show catalogs or not having proper equipment like scales or wickets on hand when needed.
Investigating misbehavior at a show is the role of the Bench Show Committee, made up of at least a majority of the members of the Event Committee. Their jurisdiction runs from the time the first participant arrives until 12:00 midnight after their event. The AKC representative can advise the committee on procedure, but does not participate himself.
The procedure for investigation is quite long and detailed. It doesn't bear going through in any detail, but suffice it to say that it works about as well as you'd expect for a non-judicial proceeding run by people who aren't all that familiar with the rules and don't do it often enough to acquire experience. That is, it doesn't work terribly well. Witnesses are frequently unavailable or uncooperative and there's nothing positive in the end for the committee anyway. More happens at shows than gets investigated and I doubt many of the things investigated are actually punished. Having said that, I don't want to disparage anyone - exhibitors or committee members - and I think that on the whole shows are run on the level and that misconduct rising to the level of discipline is rare.
Decisions of Bench Show Committees are submitted to the AKC Staff Committee for review and imposition of fines and suspension. The accused can appeal the decision. Appeals are sent to the regional Trial Board, made up of senior judges. Their decision is final, but the person under suspension can apply to the AKC Board of Directors for re-instatement. The decisions are printed on the Secretary's Page of the AKC Gazette.