> 1. He harmed her emotionally for life and ruined her spotless record.
Almost right. Her spotless record is still spotless. As for the emotional harm, he may have had to balance that against the harm done to his family if he were to lose his job. If the USA had a proper and useful social safety net that equation would look different.
> 2.
Good, then you should at least care about this information being spread.
2. No, the entire supervisory chain is to be extracted out and punished.