Here is some information on AKC inspections, while they do not have the power to close down a kennel,
"If an inspector finds minor deficiencies, the issues are noted and discussed with the breeder, and AKC expects the issues to be taken care of before the next inspection. While the AKC does not have penal or regulatory authority, breeders who have major kennel deficiencies may lose AKC privileges (ability to register dogs or compete in events). In some cases, fines will be imposed, AKC privileges may be suspended and appropriate law enforcement authorities contacted. "
Furthermore:
" AKC automatically imposes a 10-year suspension and a $2,000 fine on anyone convicted of animal cruelty involving dogs. "
Does any other registry do that? It may not be perfect, but it's the best thing we got going. For further information:
http://www.akc.org/about/depts/investigations.cfm