You did a beautiful job on your quilt. Did you make it for someone special?
I would write a letter to the editor of your local newspaper as well as the person in charge of the fair and complain about the way they handled the display. Everyone who brought their quilt to the fair expected it to be at least seen by those who looked. To have any quilt folded is a disrespect to the quilter. Hanging it over a chair or quilt rack would have been appropriate; to say the least. If the fair's intent was to show quilts, then they should have made the proper arrangements for all the entries and not make any excuses.
Along with your complaint, I suggest you urge your quilter friends to do the same. Maybe next year they will be a little more prepared to handle such a large response.
Keep your chin up. It was lack of common sense on their part.