Fired from my position while a customer

I had been an employee for four years. Was moved to Bar Manager two years ago. Recently the owners daughter (who was also married into the same family I was) came on board to work part time in the lounge area. Her first day on the job I complimented her on her shoes and I'm sure they are comfortable, however, we are not allowed to wear open toed shoes. Her response set the course for the next couple months. "Daddy said I could". As things became increasingly confusing to customers and bar staff, I wrote a letter to the owner,Larry, which she took upon herself to read, requesting to defuse the confusion and frustration, I wanted to step down and be just a bartender. Allow her the space and responsibilities. The letter was never discussed with Larry the owner, daddy per Michelle and things went on as is. Little by little she took on my responsiblities and never did it openly, just behind my back. In the midst of all of this, a friend of mine that was dating the restaurant manager for another location of Larry's, broke up. Now I'm guilty by association in the quarrel, because she is my friend. The night in question, where I was let go, happened the morning after a long day of personal, attacking texts from Michelle, which I have saved on my phone. That evening I met friends at the bar, was shooting pool when Wendy (the friend) came into the bar with a friend of her's. A hour later, (normal established by owner guidelines) one of the customers asked for a ashtray. It was late, only people left were smokers, self included, and the bartender got ashtrays out and smoked behind the bar. Next morning, I was released from my job for smoking in the bar, and allowing Wendy who was banned from the bar in the bar. Which the bartender on staff working, didn't know, only myself cuz she was my friend and the working bartender was not given any punishment for, only me. She wasn't punished for smoking either. So to look at the facts only.....
I was employed there 4 years, managed 2
I was informed via text from Michelle I was not the manager, just a bartender, the night before let go
Daughter came on manipulating me from day 1
I have the letter and ALL texts saved.
All communications between Larry and myself.
All this was done while Larry was out of the states fishing, and no communication available for me to contact him.
While he was gone, the locks were also changed.
In a text I was informed I'm just a bartender.
He claims I was suspended, but was removed from schedule and not put back on the following schedule.
I have a list of previous employees that can attest when removed from schedule, your fired.
I contacted him, he didn't contact me upon his return and waited a week to meet.
Met two times with Larry, feels put in the middle, but pointed out exactly what JOB RELATED dilemma brought upon my release from employment.
Met with Michelle, Larry and Larry retracted everything he had said in our meeting. Michelle led the meeting.
I don't understand how any of this can be ligitimate and legal and if there's a way to proceed I would like to know exactly how to do it and what angle.
To top it off, I am unable to get unemployent. The state has indicated that I didn't make enough money. However, prior Michelle, that store manager, would delete hours to manage cost cutting. I have my slips with check stub attached showing that if I had been paid for hours work, unedited, accrued I would more than qualify for unemployment.

I know this is a long inquiry, however, I feel stuck, angry, betrayed and uncertain how to move forward. Bottom line, I was a customer. And just a bartender, not manager. I was the only one who knew Wendy was banned. Prior conversations with Larry, the owner, indicated his grey area on the situation. So not working, being there with friends having drinks, not my place to remove her from the bar.

Thank you for your help!!