As a follow up to every thing that took place, if this had happened to me, I would want a written explanation of the complaints, how they match company policy, and why what I did was wrong. I would next ask that this incident not be removed from my personnel file, but that the entire outcome be included in the report (to #1 remind everyone with selective memories what the outcome was, and #2 as evidence that I was the one wronged in this situation).
Do you suppose she would get in trouble if she rehung the flag and posted a sign under it that stated "If you have a problem with me (the flag) follow these directions to the nearest boarder ... and don't let the gate hit you in the ass on the way out!"