@D45ist ,
Well to me it sounds like she is nice around the teachers - aka Eddie Haskell - in my daughter's words she acts nice. But she is actually very mean to many of the other kids. So quite honestly I think the teachers see her being nice and thus choose her for this award.
I honestly don't care but find it ironic that you can actually give an award for something which in reality you cannot since by its own definition you are supposed to be doing this when no one is watching.
She did get three awards - two academic (which is good because they have to quantify it not a subjective) and another for outstanding effort - which is wishy washy (in it is difficult to quantify) but if true is also not bad. Not everyone did get an award but all get a "completion" award similar to a diploma.
In your same vain - when my daughter was in elementary school she got marked down in gym for "throwing to hard." She was throwing accurately just the other girls were afraid to catch from her because she threw hard (like you are supposed to if you are a ball player - which she was and still is). So you punish those that are stronger or better at something? I asked her what she to the gym teacher - she just said sorry that is the way I throw. I told her good - don't "dumb" down your ability because other kids are not as strong.