As I understood it, MD repaid the price of the ticket upon arrival, in a sense a loan from a friend who no sane individual could count as a Bama booster of Professional Agent. And, he never stayed in the room, so no benefits received. So if he owes no money for any outstanding benefits received, why a financal penelty.
Further, how can you penalize a member of the only group on campus who you rule can't go get a job. Does that not encourage exactly what you say you want to discourage (i.e. getting money outside the rules)
Honest question to the forum, where does the NCAA expect him to get over a thousand dollars?
Next precedent of concern, is this a case of paying money instead of getting game(s) of suspension. You know other schools with think that. If he said "No, I won't/can't pay it", you know that suspensions would be the result.
Third issue, real world angle on this, how is the money a deterent? For a guy who is about to sign a multiMillion dollar contract in mere months, dropping a grand on any of the 800 credit cards that college students are offered is easy.