OGE & Beavah & LisaBob are on the money!
I'm betting there is an adult in this unit (possibly the SM) who feels a Scout should only get credit for the merit badges toward the rank he is working on. What I mean is only badges earned while 1st Class will count toward Star. If this is the case, I would ask to see chapter & verse where this is stated in any current BSA publication.
Ed Mori
1 Peter 4:10