The EA doesn't recognise BETAC. They simply exclude Hippocrates class ships from their target lists, as the GTVA isn't stupid enough to use them in combat.
BETAC was a relic of the pre-Capella era that forged the GTVA out of the GTA and PVE. As relations between the two races deteriorated in the years following the destruction of Capella and their agendas became divergent, the role of BETAC in enforcing 'the Vasudans and the Terrans maintaining separate fleets under a single command structure' became incompatible.
Woolie Wool, you seem to have your wires severely crossed. If a 'civilian' ship fires on your forces it is hostile, regardless of how many civilians are on board. I did not say that all ships of that class would be treated as targets, but if said ships engage in hostilities they instantly become them.
Liberator, the EA isn't at war with the GTVA because they consider them inferior or inhuman or anything like that. They simply want to expand their 'empire' and enlarge.