Lying about yourself is not the same as lying about someone else.
The courts have found a "compelling government interest" in the past to support anti-defamation laws, which they will most likely continue to support.
But it can be just as bad, as this instance shows. Clearly there is a compelling interest in maintaining the integrity of the military and its awards programs. If anyone can claim to be the recipient of an honor they didn't receive it would lower morale and effect the efficiency of the armed services.
I would also note in this case the liar is lying about the military as well as themself. They are claiming the military awarded them an honor that it didn't award. So they are not just lying about themselves.
So, I can lie about who I am when the police stop me. I can lie about not robbing the bank when asked. I can lie about my whereabouts when said bank was being robbed. I can lie about where I live, immigration status and anything to personally identify me, is that correct? I need to look into this First Amendment thing because I've been cheating myself instead of others.
Like saying (to the IRS): "I don't have any income. I have no savings. Nope, no foreign assets. Sorry, not a penny!"
Or on a job application form: "I have two PhDs - one in High-Energy Physics, the other in Mathematics. I worked as a Senior Project Manager at CERN for many years."
You're right: We should all be entitled to portray ourselves as we wish - even if it involves lying.
Regards,