I understand they lost 4 points in every grade and every colts team for having received too many red / yellow cards over the course of the season. I don't know when this rule was introduced but it seems very harsh.
RULE 26 TOLERABLE LEVELS OF
ESTABLISHED OFFENCES
26.1 Each Club shall have a tolerable
level 7 established offences, provided it
fields the full 7 grades for the full duration
of the Competition. If a Club withdraws a
grade or grades during the season, its
tolerable level will decrease by 1 per grade
withdrawn.
26.1.1 Should a Club field a 5th Grade
side for at least half of the duration of the
competition, its tolerable level shall
increase by 1.
26.2 Once a club reaches its tolerable
level of established offences a written
warning & $50 fine will be sent to the club.
26.3 Fines will double for each further
established offence above the tolerable
level.
26.4 In addition to the progressive fine
system, once a club has two established
offences above the tolerable level, the club
will be asked to meet with the Union and
will automatically lose one full round of
competition points, including club
championship points (i.e. four ladder
points and corresponding club
Championship points for each grade in the
Club).
26.5 For any further established
offences the club will be asked to show
cause why it should remain in the
Competition.
This rule has been in for atleast 4 years. 26.4 clearly states continued breaches of the rule will incur automatic loss of points. I am perplexed as to how Easts thought they had a strong case to appeal.