The key word here is mismanagement.
Regardless if they are too skinny or IR. The horses are not being taken care of properly.
Are they starving? No. But, being under nourished can cause growth and soundness issues in the young ones she is selling, and being overweight can also cause lameness. So this does effect future owners of these horses.
Bottom line is she needs to take care of all her outstanding bills, and sell the horses then get some help.
It is too bad all this has happened but regardless is it is a mental problem or not she needs to be responsible for her actions.