The gross (and wrong) assumption you are making is that you all think that the certification agencies exist for the benefit and safety of the student. You are wrong. The certification agencies, at least the large commercial ones exist for the benefit of the shareholders, to support the members, and the safety of the public has very very little to do with it. As was said earlier, the way to get suspended is to bring discredit upon the training agency, the other is to not pay the agency in a timely fashion. The fastest way is to not respond to an inquiry from the agency, or refuse to participate in corrective action following a standards violation.
What you are failing to understand here is that scuba is not a government entity. There is no big brother watching out for the unsuspecting public. The closest we have is the Coast Guard and dive charter boats. If (and it appears that they did) PADI pulled the Lake Rawlins instructors credentials, it is because he violated standards, or refused to answer an inquiry from PADI, perhaps on advice of his council. THIS WASN'T TO PROTECT THE PUBLIC. It was to protect the reputation of PADI.
NO ONE PROTECTS THE PUBLIC except the public. There is no central database of bad instructors, there is no clearing house for expelled members, and there is no blacklist except in places with a large number of shops like the Keys or Cozumel. There is no standard resume that must be submitted before becoming an instructor.
When crossing over from one agency to another, you must show your credentials of your active agency to the new agency, you must buy all of the instructor materials, and you must take some sort of class from an instructor trainer. I have been blown off by an instructor trainer who needed the cert, and didn't have to do anything except buy the books and tick the boxes. I have been blown off as an instructor by a person desiring to be an instructor trainer for a certain agency, so I have every specialty card offered by that agency, to get the number of certs up for the candidate.
Let me speak plainly. The agency exists for the agency, some for it's members, not for the public.