She had a friend that worked for a shoe company, and had him custom make shoes to match each of her outfits. He gave her the shoes for free. and the rules said that you couldn't do that. The designers had to pay for whatever was used. So Kara had the guy put together an invoice that said the shoes "cost" $5 per pair, and submitted that. It was such an obvious scam that they didn't allow that to pass.
It was a cheap stunt for her to pull, and kind of irritating that she didn't see anything wrong with it. I guess you get so wrapped in your vision that you filter everything else out.