The picture was taken last August, at an Air Force training school in Virginia, and leaked to the Air Force times last year. It shows a group of 16 men, wearing their fatigues -- one of them inside the casket, wrapped in chains with a noose around his neck.
An investigation found the photo was meant as an inside joke about the dangers of loading and unloading cargo, not to mock fallen soldiers.
Officials say there was no criminal wrongdoing, but the group all received administrative punishment for their conduct.