Waratahs have been cleared of any wrongdoing after Leeton lodged a complaint following their women's match at Conolly Rugby Complex on Saturday.
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The Wagga side scored their first win of the season in impressive fashion, taking a 65-5 victory.
However with Ag College pair Harriett Elleman and Tiffany Furniss playing for Waratahs, after being part of their regular side's over Albury earlier in the day, Leeton lodged a complaint with the Southern Inland match committee.
Dianas coach Stuart Stout expressed his frustration around the situation to The Irrigator.
"It's effectively cost us a spot in the finals because Waratahs have now jumped ahead of us on the ladder," Stout said.
"It just doesn't seem right.
"We've appealed this decision with the match committee (Southern Inland), but we will be taking it further at this stage.
"It's not right. How can you be allowed to play for two different clubs (in the same competition) on the same day?"
Stout labelled the decision as unjust and doubted any other club would be afforded a similar opportunity.
However Southern Inland rugby manager Jack Heffernan explained the board had given Waratahs permission to have both Elleman and Furniss play with the club.
As such it was found there had been no breach of the rules with the result to stand and no further action will be taken.
"The players are registered to both clubs, which has happened on multiple occasions in the years of competition," Heffernan said.
"Obviously the circumstances are a little bit different, in terms of playing on the same day, but that was done with the approval of the SIRU board as Waratahs were going to be short of players."
The Wagga outfit were set to field a team one player short before the approval was gained.
Leeton have the bye this weekend while Waratahs travel to tackle Albury at Murrayfield.
In other games undefeated Ag College tackle third-placed Wagga City while CSU, who are also yet to taste defeat, take on competition newcomers Hay.
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