The only thing I could find - but in the copyright part of the code:
The term colorable imitation includes any mark which so resembles a registered mark as to be likely to cause confusion or mistake or to deceive.
Yeah, but if you read the whole regulation, with the restriction that some articles may be sold if they are only sold in military stores, it is quite obvious they are not talking about media (e.g. movies, books, or games). There has never been to my knowledge an attempt to force the recall or exclusive sale in AAFES of war movies or works of history or fiction including pictorial representations of the medals. The closes too it is that I have heard the DoD often requires that a movie using military uniforms puts them together with some small error, usually something like a ribbon in the wrong order of precedence so as to enture the military is not legally endorsing the film, but again that would not really apply here.
Anyway, using a little common sense, I find it hard to imagine that anybody would confuse the medals in SH4 with the real thing . . .
And RDDR, I appreciate your service, but do not be too hard on the guys on the SubSim forum. I think the guy doing the medal editting is not trying to brush you off so much as he is not really interested in doing any graphics editting all (understandable, since it requires much more time and effort than simple text file editting).