That is exactly what Elliot says! He was presented the report by Kerry and he made the mistake of believing him. Nobody realized until years later what had happened! That's (one of many reasons) why the SwiftVets are so ticked! and it is the same reason why Thurlow didn't know Kerry had done this and why he - of all people - feels shame over the receipt of that medal because of its taint by Kerry.
As John O'Neil said the other night on Scarborough Country....... "The Jig is up!"
I think Elliot's problem is that he wrote at least one glowing evaluation of Kerry at the time, and endorsed at least one more, so if he now says Kerry was less-than-upstanding he was either lying then, on Official records, or he's lying now.
Thurlow jumped from his boat, to the moving but disabled PCF-3. He was helping disabled crew of PCF-3 when PCF-3 ran aground, and he (Thurlow) was thrown off PCF-3. He might have reasonably thought those actions alone, not under enemy fire, were the basis for his Bronze Star. THere is no requirement to be injured, or to be under enemy fire, to be awarded the Bronze Star (however, there is a requirement to be injured "by enemy fire" (more or less) in order to obtain a PH.