penalized for DC because of latency or bug

It is an occupational hazard of playing league of legends to have latency spikes or encounter bugs that disconnect you from the service. At least when it happens in-game you have about half an hour to reconnect before you are penalized. When you're in champion select you have far less time, especially if someone else dodges and ends the session.

As I player I find this extremely frustrating as I have done nothing wrong.

There is ample metadata available about each client server connection. League already has many services set up for analyzing metadata for elo and stat tracking, behaviour tracking, etc. Frankly Riot probably already tracks disconnects for other reasons, as it is valuable data. It should not be difficult to develop a simple heuristic that tracks a user's latency and disconnect behaviour and makes a reasonable distinction between a queue dodger and an unintentional event. "But I shouldn't be penalized for my crappy internet connection," you say. Under the current system you already are, the existence of a heuristic doesn't change the potential punishment.