While I think the whole concept is rather disgusting, it seems to me that he's allowed to
say anything he wants, however the moment he tries to take advantage and say, claim a veteran's pension or whatever, then he shifts over into fraud and would face criminal charges for that particular crime.
My personal belief is that anyone pretending to be more than they are in that way should be taken around the back and given a good "talking to" with Mr Rubber Hose!