An independent investigation into conditions at Brondeg House, Swansea, found disabled people there were frequently neglected.
One man died in hospital last August - a day after choking on a sausage - despite warnings to staff that he needed mashed food.
Other physically-handicapped residents were denied food to cut down on trips to the toilet. Some were left on the toilet for as long as four hours.
Staff were sometimes "legless during notorious parties" at the home, and enjoyed free trips to the theatre while residents had to pay.
The official inquiry was carried out by Richard Clough, general secretary of the Social Care Association, who made 55 recommendations for improvements.
He concluded: "Brondeg House was described as a flagship for people with physical disability. I have to say that the flagship has dropped anchor, lost its rudder and often had no one on the bridge.
"Rights of privacy, dignity, independence, choice and fulfilment were neglected on many occasions."
Mr Clough based his report on interviews with 54 people, some of whom complained they had been intimidated into keeping quiet about what went on.
He said some staff members realised they were "wrong not to blow the whistle and that they failed people who were in their care".