Blue Toon manager Jim McInally felt aggrieved the honesty of one of his players may have cost his team a draw.
The Balmoor men were trailing 2-1 and pushing for an equaliser when Cammy Kerr appeared to be tripped by Ross Meechan inside the box.
However, the attacker stayed on his feet and the referee waved play on as Stenhousemuir held on for a win which dented Peterhead’s play-off hopes.
A bemused McInally said: “I cannot believe one of the officials said my player was too honest and if he had gone down it would have been a penalty.
“Cammy stayed on his feet and had his shot saved, but we were punished for it.
“It does not seem right because we are being punished for our honesty. In my view if he was fouled it’s a penalty anyway.
“Why does he have to go to ground? It’s an annoying situation when every point is so important and the margins are so tight.”
Peterhead went down early at Ochilview in very windy and difficult playing conditions.
In the first minute Peterhead’s Jamie Stevenson went close when he forced the goalkeeper into a diving save but five minutes later the visitors went behind.
Paul McMullan’s corner fell to Colin McMenamin and his shot looked like a miscue but the swirling wind helped it into the top left corner.
McInally’s men responded with Rory McAllister winning a free kick in a good position but the wall diverted the shot for a corner. On 22 minutes only a brave save by Stenny’s Greg Fleming denied Peterhead a leveller, the goalkeeper diving at McAllister’s feet after Stevenson’s pass had released the attacker.
Stevenson then sent in a 25-yard shot which flew just over the bar with the goalkeeper beaten.
At the other end McMullan’s volley sailed just past the post before Peterhead responded, Stevenson running on to Jamie Redman’s pass and out-sprinting Ross Meechan before shooting against the post.
McAllister claimed for a penalty on 34 minutes after a Meechan challenge but the referee was not interested.
Graeme Smith prevented the Warriors from doubling their lead on 39 minutes with a great save with his feet from McMullan. Instead, Peterhead equalised on 41 minutes when Redman provided a precise finish after beating Meechan to Kerr’s cross from the left.
Ross Smith kept Peterhead level at the break with a header off the line from McMenamin’s chip after a Joshua Watt free kick. On 55 minutes a swift Stenny breakaway came with McMullan sending a perfect pass to Watt who slid the ball beyond Smith to restore the home side’s lead.
Then came the moment that caused McInally’s frustration when Kerr kept his feet just inside the box after an apparent trip by Meechan.
Peterhead continued to push for an equaliser and Kerr’s cross found Andy Rodgers whose header was turned over by the goalkeeper.
Rodgers then out-jumped the Stenny defence on 82 minutes but the goalkeeper made another good saved and Stenny nearly scored a third on the break with substitute Gregor Fotheringham powering his shot off the crossbar.