From what you’ve said, I can only offer the following:
Ask to speak to your OC and sector commander together and explain what happened on the course. Make no reference to anything else. Tell them the scenario that you were drawn into, how you feel it has been misrepresented, and how it’s made you feel.
There’s a lot of stuff going on that (at face value) doesn’t seem right to me, but I’m not in a position to pass comment on.
However, establishing dominance through intimidation IS bullying behaviour. It may not be targeted or biased, but that’s what it is nonetheless. Fear of the consequences of (genuine) wrongdoing is OK if fronted up with genuine respect and a desire to follow someone. Fear shouldn’t be the default.
Unfortunately, you’re not going to fix that alone.
The bottom line is, you shouldn’t be made to feel this way. As much as we can tell you that here, it won’t help. You need to face this one and seek closure. Take it as far as you have the energy to fight your corner (sector, back to the DS, Wing, etc). As I said, if you experience any blowback from this specific scenario then you have grounds to complain about that. Evidence anything that happens and try to have witnesses. You can take anyone you like into a meeting be it cadet, parent, neutral staff member. You can ask for notes to be kept which you can see and sign as true or ask to be amended and you can have a copy.
But… Don’t burn yourself out over this. Don’t lose sleep. Don’t get stressed or anxious. You’ve already given up a lot to be dedicated to cadets and you should be rewarded with an enjoyable experience. Don’t give or lose any more of yourself.
If it doesn’t work out, consider moving Squadron. If you can’t, it pains me to say it, but… Leave. Do what you must to look after yourself. There are far more important things in life the RAFAC.