We all agree that what the individual did demonstrated a serious lack in judgment and integrity.
However, if you research the CMJ site and see what punishments have been handed out for both Officers and NCMs, reduction in rank and/or dismissal are very rare occurrences. In the recent past, they are normally only doled out where there is a loss of life or sexual assault. In the grand scope of things, wearing unauthorized medals may say alot about the person's character, but isn't really a heinous crime. We can't punish people simply because who they are and what they did outrages us. It must meet the crime.
And although I'm only guessing, the reason she was likely allowed to plead out was it would have been up to the prosecution to prove:
a) she hadn't earned the medals; and
b) she knew without she wasn't entitled to wear them.
I'm guessing this would have been difficult without an agreed statement of fact.