I'm not at all convinced there needs to be any change made to the way things are now. It ain't broke, there's nothing to fix. The actions of the moderators are logged in the moderation subforum, and any actions can be (and occasionally are) challenged by the other mods or by the devs.
Actions against individuals, when they are necessary, are as public as they need to be. Occasionally very public, occasionally not so public, but always the action is taken when deemed necessary by the devs, or by the moderators they have appointed.
The forum is not in a state of malfunction. No changes are necessary.