i admit that i was shocked that they showed it on tv, but i dont' think there is anything wrong with it. i've often read of bakers using a cake spackel-cake crumbs and bc used to fill gaps and joints. i think it's ingenius! once my husband took a piece of cake off one that i was working on-he thought it was scraps
, but it was actually a corner piece on a carved cake! i just filled in the void with the cake spackel. still tastes great and looks great!! 
Toba Garrett says in her book (The Well Decorated Cake) that she devised that method in her kitchen. Cake spackling.
I just used some cake spackle on a carved cake today, but I think it's mainly to give you a smooth undercoat for the fondant, not necessarily to fill in huge gaps.
I do take pieces that I've carved off of cakes and replace them in other places sometimes, depending on the cake. As long as the number of servings the customer ordered isn't compromised by having one section "patched" I don't have a problem with it.
I don't like cake crumbs in my icing (or in my ice cream, if it's a cake-n-ice-cream party). Even tho' I read about T.Garrett using 'spackling' for crumb coating, my reaction was "Ewwwwww!!!!" 
for small patching, I dont' have a problem with it, but in my personal opinion, I'd be pissed if i cut into a cake and saw a mess under there. When buying a house, they tell you "If you see things that aren't right, it causes you to think about things that you CAN'T see."
If I cut into a cake that is a mess, it makes me wonder just how much care went into making it in the first place.
I almost applauded Sylvia W. when she said she expects to cut into a cake and see nice even layers of cake/filling. I like my food "neat"! 
OOOhh cake crumbles on ice cream!! I think I would like that!!
Half a tier of squished cake no-way! I was shocked to see that come out of Vincent Pilon's kitchen! I have no problem of using spackle to fix a problem but that was to much! I kept thinking, what that would actually look like on a plate!
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