Thank your diety of choice that you are in the minority then. This is not, nor has ever been purely a league...OCW is an e-fed. If you want what you suggest, I'm sure you can find what you want on the IGN boards (I am not suggesting that you leave, nothing of the sort, I'm just trying to make a point).
There was a time in OCW when storylines had much more weight than wins or losses. The game was an integral part of OCW life, don't get me wrong. It's just that if you wanted to move up the card, you had better be RPing on an almost weekly basis. Entertainment was highly valued. Nowdays, angles are just a formality as the almighty 'W' is king. You don't even need to have angles to hold a title as of late (not a dig at anyone in particular). This enviroment is where the less than ethical people thrive and is evidenced by the 'grey area' you speak of.
I do have a solution, and I'm sure most everyone will balk at it....make a rule/guidline for every possible senario that can happen in the game, basically writing down the ethics. This way there is NO QUESTION as to what is legal and what is not.