Yeah, DS-260 is not supposed to be filled out until after the I-130 is approved. Very weird. This Embassy sounds extremely bumbling.
So, the Embassy messes up, allows her to fill out the DS-260 before getting approved, then they turn around and say they can't approve the I-130 because of the AWA namecheck thing, now they tell you it's up to USCIS/NVC.
And you have heard nothing back from USCIS/NVC on this matter?