- every LGBT under that captain's command would fear for his or her career if his or her sexual orientation were exposed, and
- every homophobe in a position of authority would feel empowered to make things tougher on anyone under their authority whom they suspected (or knew) was LGBT.
And the combination of the two - especially in the modern day when marriage equality is legal in a majority of our states - is a serious detriment to the effectiveness of the command.
This retired Navy man is telling you that YES, it DOES work this way. It's not a PC thing, it's a LEADERSHIP thing.