How do you deal with NCOs that severely compromise the corps Values?

First and foremost always go above and beyond what this individual is doing. Your post tells me it's not hard to do.
Do not bad mouth him/her because that does nothing for you. If the command is allowing it there is not much you can do other than deal with it
I see you tagged EO so that may be a path. Create a log of any personal interaction with this NCO.

I had an NCO just like that. He was a SSG just off of recruiter status and I had just returned from Panama - Operation Just Cause - and before I had the computer set up and running he comes bitching to me about a memorandum that was due like three days ago. And for some reason he struck me (I was an E-4) and I cleaned his clock and wound up on the psych unit at Baynes-Jones Army Community Hospital at Fort Polk. Suffice to say, the NCO was done for and I was done for as well diagnosed with PTSD and a couple other things which sent me to a medical board and a medical discharge. I stayed in Louisiana for about 5 years and I wound up going to church one Sunday and ran into said former SSG. The meeting was not pleasant, and so I sold off my VEAP so I could pack and leave the state for good. I hadn't had a bad day since.

I'm TPU, but I perform Military Funerals during the week. All 70 funerals I've completed so far this year have been two-man details. We go to cemeteries, churches, funeral homes, etc. As soldiers we are expected to be professional and should be able to supervise ourselves. Most of the soldiers I work with are competent, but I've worked with several ate up senior NCOs and officers. Generally, it's uniform violations, often items on the ASU just not positioned correctly. However, I've seen soldiers come to funerals in their ASUs wearing do-rags, knitted beanies, earbuds hanging out of their shirts. I've had a LTC (O-5) trying to add in his own material to the funeral which is a violation FM 3-21.5. I had an E-7 scrap mud off his shoes onto someone random person's tombstone right in front of the funeral procession. I know 'how' to professionally and politely tell someone that they're ate up, but as a new NCO, admittedly I'm still intimidated to tell an O-5 they're wrong. This week I printed out relevant AR and FM (AR 670-1, AR 600-25, and FM 3-21.5) to study and keep in my leadership binder that I bring to funerals. Instead of telling them, "I 'think' that's against Army AR," I can confidently tell them, " That 'IS' against Army AR," the next time I see someone jacked up.

That Nco is not a Professional and he use's his bullying techniques to get his soldiers to not see, he does not know his job, and how to do it. Piss poor management. The Nco needs a serious talk to

Just challenge him like a recruits in boot camp :P That worked very well for me ... for now.

I pictured an NCO that outranks you when I read the subject header. That's tough to deal with. Same rank or lesser, pull him aside and lay it out to them. If they can't take criticism, then find more like minded individuals and have an intervention.

It is your duty to report this NC to his COC. Nothing boils my blood more than to see a soldier being abused and belittled. Do everything you can to get that NC counseled and/or reprimanded. When things become toxic or you arrive to a unit where everything is toxic, you may want to find another duty station/assignment. If the COC doesn't act on correcting that NCO, then you know that you have your marching orders. Always do the right thing and what's best for the Army. I trust that you will brother. God Speed.

IG and don't be afraid to use your chain of command it goes all the way to the top mot just your company command !

Hold him to the standard. It's easier said than done, but I agree with a majority of the comments below: pull him aside and professionally talk to him. If he's that volatile, have someone of higher rank there with you to mediate.

Counsel him, remind him of the NCO creed which he has forgotten. Counsel him again. Make sure it's written on paper. Or some good ole wall to wall counseling to set him straight