My family raised persians for a time. You do NOT let breeding stock out loose. At least the person who had it neutered was kind enough to let it live, instead of just shooting it or having it put down. Owner is an idiot!
You are correct. Even if the cat is just a plain old cat if you love it keep it inside. As I have heard my vet say “outside cats live short violent lives”
I wasn't able to find anything other than the AP article so I don't know if she let the cat run free. If she did then, yeah, she's an idiot.