polkey - I’m sorry to hear that you have had a bad experience, but it sounds like you are learning and it sounds like you are learning a little late in the game (no pun intended).
Things to think about and reflect on:
1. Know your sons ability, if you are not able to sufficiently understand his abilities and where he fits against competition in his peer group, seek a third party for non-biased advice.
2. It sounds like your son has been placed on a development team for a large organization. That’s not a bad thing at all and actually its a good thing. You see it as him being placed on a "lesser" team with one coach running a two dug out scrimmage. In reality, if he is with a development team large enough to intersquad against each other while the coach is able to see all the players on the field at once, to include providing instruction... its not a bad thing at all. He will get better if he has an open mind.
3. I’m not sure how old your son is, what grade he is in, or if he has played for his HS. But if you don’t "buy into" the program (mentally, not monetarily), it will never work for your son or you. To include HS, College, etc. If you can’t handle it, go elsewhere.
4. Have you talked to the coach, owner, team coordinator, etc. Better yet, has your son? What does your son think about all of this? Is he learning, getting better? Does he enjoy the team, coaches, and players?
5. Go watch one of the 17U teams or one of the scout teams play in a tournament. Then ask yourself where your son belongs...
Everyone needs a sounding board every now and again and if you are posting here to vent, have at it. But i would caution you to keep your emotions away from your son. Full disclosure... I have no idea who the dirtbags are as I am on the west coast, so this advice is from the outside looking in. Relax.