Line-Up Mess

[Dholloway1962]

This happened this weekend at an ASA tournament I was at. Thankfully not on my field! At plate pre-game conference Team A presents line-up as follows:
B1
B2
B4
B5
B6
B7
B8
B9

S1

Notice coach had a brain fart and left off B3. Umpire didn't catch it either.

B1 and B2 reach base. B3 grounds out. B4 then flies out. (B1 and B2 still on base). After B4 flies out, Team B comes out and says batting out of order. Umpires figure out that the line-up didn't include B3. B.O.O. is moot as a pitch has been thrown.

How the heck do you straighten this mess out? I've been through the book in my off time this weekend and can't quite figure out what applies, illegal player, unreported sub, or what!

The umpires disqualified B3 as an illegal player and placed S1 in the 9th spot of the batting order. Is that what should have been done of something else