I am sorry this happened to you!
You are right it takes all kinds of people to make the world go around. Even nasty self righteous rude ones!
I know how it is to try and get started in the show world. One time I thought this lady (I am not mentioning names either) was really trying to go out of her way and help me! She had her yorkies in the YT magazine and was very knowledgable. So I purchased my first show female from her and the amount of money I paid was alot more than I would have expected to pay. I was so excited to receive my show girl! Well needless to say I was ripped off big time. My new show girl came to me with grade 2 and a grade 3 luxating patella and to top it off she also had a c-section scar! So the laugh was on me! My show girl was nothing more than a beautiful pet! It is so hard to get started, but if this is your dream do not let anyone take it away from you, ever! Competition in any kind of sport can make the ugliness in people really come out! But YOU have as much right to be a part of showing dogs as anyone else and never forget that!
I strongly believe that when placing a puppy/adult yorkie in a home with children it depends on how well mannered and behaved the children are. Just because one has children does not make them exempt from owning, showing or breeding yorkies! As long as their children are taught to love and show respect that is what matters! I have rescued more dogs (all breeds) from irresponsible ADULTS! I know of a show breeder that placed two beautiful show males with a lady on co-ownership and the show breeder gave this lady a wonderful chance to make it in the show world! But it was more important for this lady to sell interest into the dogs with another breeder behind the show breeder's back (WITHOUT THEIR KNOWLEDGE) and post them on their websites for stud service. I guess they were thinking of the money they could make off of Champion Sired Stud Service! To make a very long sad story short, one of the show boys was killed while in the possession of this lady and the other one has now been safely reunited with his breeder. I also might add the show breeder had offered multiply times to purchase the boys back. It is sad this lady and the lady that bought interest into the show boys did not have their best interest at heart! If they had both boys would be alive today.
If you are determined enough you can do anything!