United suffered only their second defeat of 2013 as they crashed to a 3-0 defeat against Yeovil Town at Huish Park.
The Iron could not stop the rejuvenated Yeovil side who moved up to third in League One after the result.
Paddy Madden, who was presented with the trophy for League One's Player of the Month before kick-off, tapped in from six yards after Joseph Edwards' delicate ball across the face of goal left Sam Slocombe in no-man's-land.
The former Doncaster Rovers duo of Byron Webster and James Hayter were both on the score sheet for the home side who last lost at home in November.
With 20 minutes left to play, United were denied a penalty after Andy Barcham's shot seemed to come off of the hand of a defender. Despite ferocious claims from the players in claret and blue the referee, Dean Whitestone, was never going to change his mind.
Within seconds the home side were awarded a spot kick of their own after Callum Kennedy was adjudged to have brought down Sam Foley. Hayter, who scored in the reverse fixture at Glanford Park back in August, calmly stepped up before sending goalkeeper Slocombe the wrong way.
The opening goal of the game came through defender Byron Webster who flicked a header into the unguarded side of the goal after inform striker Paddy Madden saw his shot clawed out of the top corner by Sam Slocombe
United had several chances to level as the half drew to a close. First, Hawley was put through by Jimmy Ryan
but he could not keep his shot on target.
With just seconds left of the first half, Akpo Sodje was clear on goal, but a last ditch tackle from Webster was deemed legal by the referee. However, Sodje remained down injured - despite furious claims from manager Brian Laws that a penalty should have been awarded.
The Iron striker, who has found the back of the net four times since signing for the club last month, was heavily assisted off the field in stoppage time by the club's physio, Darren Mouatt.
Scunthorpe had the better of the opening exchanges with the first treat coming after six minutes. Callum Kennedy looped a long free kick into the box where Akpo Sodje beat the onrushing Marek Stech causing a goalmouth scramble.
The ball fell to Iron striker Karl Hawley but he was unable to untangle his feet and the ball to get the shot off, allowing the scambling Czech 'keeper to gather at the second attempt.
Moments later Ryan almost scored his second goal in three games, but his 20-yard effort whistled past Stech's left hand post.
Moments after the hosts scored they could have doubled their lead through League One player of the month Madden who was again denied by the defiant Slocombe.
The Iron goalkeeper the gifted Hayter a glorious opportunity on a plate. However, the striker who is known more for his ability in the air, could not emulate the efforts of David Beckham's goal from halfway against Wimbledon, as his shot flew towards the corner flag.
Following the break manager Brian Laws did not return to dugout, but injured striker Sodje did momentarily. Despite returning to the pitch, he was not in the condition to continue and was subsequently replaced by Mike Grella.
As the players were making their way out for the second half, Laws was approached by the match official who ordered the United boss to watch the remainder of the match from the stands.
During the second period the Iron failed to muster any clear goal scoring opportunities. The closest they came, was with 22 minutes left on the clock, Josh Walker's free kick left Marek Stech - a new dad - motionless, but the ball also beat the far post.
Madden, who scored his 17th goal of the season in the win, almost had a brace but he was denied on several occasions by Slocombe.
The second period, which was dominated by the home side started with an altercation between Iron skipper Paul Reid and Glovers midfielder Ed Upson. Within a minute of that off the ball incident Reid was cautioned for a late lunge on Hayter on halfway.
The Iron, who were led on the touchline by assistant Russ Wilcox throughout the second half had an opportunity to score a consolation in added time when the ball fell to Eddie Nolan, who made his first appearance for the club since resigning, but his left foot shot went inches wide of the top corner.
Stech, Ayling, McAllister (Ralph, 82), Webster, Upson, Hayter (Appiah, 82), Foley (Young, 82), Madden, Burn, Edwards, Dawson
Substitutes not used:
Hinds, Blizzard, Williams, Stewart.
Slocombe, Newey, Kennedy (Nolan, 83), Reid, Canavan, Ryan, Collins, Walker, Duffy (Barcham, 52), Hawley, Sodje (Grella, 47)
Substitutes not used:
Severn, Mirfin, Wootton, Adelakun.
4,163 (155 away).