The greyhound Racing Appeals and Disciplinary Board's decision has been slammed as alarmingly lenient, and used as evidence that the scandal-plagued industry still needs urgent reform.

The dog, named Super Ballotelli, was euthanased by a veterinarian more than a year ago, when the dog was not yet three years old.

The Heathcote trainer, Jason Formosa, was named 2016 Trainer of the Year in Shepparton on Friday night – the second year in a row he has won the award– despite being fined $5000 and having a six-month licence disqualification fully suspended by the Greyhound Racing Victoria's Racing Appeals and Disciplinary Board.

Tail docking is illegal in Victoria and the RSPCA Victoria chief executive Jon McGregor said he would explore whether charges could be laid under the Prevention of Cruelty to Animals Act.

Victorian Greens spokeswoman Sue Pennicuik said cutting off a dog's tail was "barbaric".

"I am appalled that a person who showed such neglect and disregard for the prolonged pain and suffering of his greyhound ... has not been disqualified for life," she said

"I have concerns about a lack of independence and oversight [by the board]."

On July 29, 2015, an on-track veterinarian in Bendigo, Dr Chi Wai Wong, saw blood dripping from Super Ballotelli's tail and told Mr Formosa's son to take the dog to a veterinarian, according to documents from a January board disciplinary hearing into the incident.

Mr Formosa instead used a surgical blade to cut off part of the dog's tail. He applied antiseptic and left the wound open.

Mr Formosa told Fairfax Media that it was the first time he had cut a dog's tail in his 20-year career.

He said he "snipped a bit of skin off" and believed that he treated the tail "correctly".

"It's like pulling a bit of skin off the corner of your fingernail," he said.

Super Ballotelli started racing two weeks later.

By September, the on-course veterinarian, Dr James Chadwick, found the wound was undergoing gangrenous necrosis after it was taped too tight with a dirty bandage.

Dr Chadwick said the wound would have been life-threatening without treatment and the rest of the tail was amputated by a veterinarian.

The dog was killed a year or so ago following unsuccessful attempts to find a new home for it, Mr Formosa said.

Greyhound Racing Victoria stewards initially charged Mr Formosa with three offences, including failing to provide veterinary attention, failing to exercise reasonable care and removing part of the tail without the required qualifications to do so.

The trainer pleaded guilty to severing the tail "on the basis of the withdrawal of the other [two] charges", inquiry documents stated.

Coalition for the Protection of Greyhounds spokeswoman Veronica Lim said the board gave the trainer a soft punishment and was not taking animal cruelty seriously.

She said it was "pretty shocking" that the greyhound was euthanased.

"He's been through so much and now he's not even able to have a chance to live out his life as a pet somewhere. He was really only a baby."

According to a Greyhound Racing Victoria annual report, more than 3000 greyhounds were killed in 2016.

Greyhound Racing Victoria's chief executive Alan Clayton told stakeholders last year that they were "desensitised" to the problem of rampant euthanasia.

He said "38 out of 40" greyhounds most recently euthanased "shouldn't have been put down".

One of the dogs was killed for having a broken toe, he said.

In a separate disciplinary hearing in 2015, Mr Formosa was fined $1600, which was suspended for 12 months after he pleaded guilty to keeping his Heathcote kennels in an unsatisfactory condition.

Early in July, stewards raised concerns that he was over-racing Super Ballotelli.

Mr Formosa said cutting the dog's tail was "an honest, simple mistake" and the board had made him look like an "animal".

"I read that report and it made me feel sick," he said.

Greyhound Racing Victoria spokesman Ian Habberfield said the organisation was trying to improve animal welfare by promoting 'rehome' initiatives, exploring safety improvements and new approaches to treating on-track injuries.