The story posted by the OP is clearly fraud.
I have absolutely no sympathy whatsoever for Walmart though. Their price match policy was completely illogical and unevenly applied. This is how fucked up it was a few years ago:
Right around when Call of Duty: MW3 came out, my first PS3 died. I looked around online for the best price for a new PS3, and Walmart.com was offering a deal on a 500gb PS3 CoD:MW3 bundle for $399, which everyone else was selling for $449. I popped into my local Walmart, but the price in store for the bundle was $449. I told the salesperson about the online price and pulled it up for proof on my iphone. She said "ok no problem, I just need my manager's approval before I can ring it up". So the electronics manager comes along, and refuses to price match it on the grounds that Walmart does not match online prices. I countered with "but it's your own website", to wh7ich she replied, with a completely straight face, "Walmart.com is not affiliated with Walmart stores".
I literally laughed out loud, pulled out my iphone again and used the "buy item now and pick up in store option" (the sheer existence of that option would indicate an affiliation between the two), told the electronics manager what I was doing and showed her the proof. At which point she refused to honour it and cancelled my fucking order! I asked to speak to the store manager, sure that he would see the sheer lunacy of the situation - but he sided with the electronics manager!
In disbelief, I asked the manager for the complaints number of their head office, which he gave me. I called them from in the store, in front of the store manager, outlined what had happened, certain that they would tell the store manager to honour the sale - instead I got a reply that price matches were ultimately left to the discretion of the store manager! They invited me to submit a written account of the incident so they could fully review it, however. I gave up and went across the street to Future Shop, where they price matched Walmart's online $399 price with no problems whatsoever.
I was so pissed at Walmart over their inane reasoning I ended up submitting a written account like the complaints lady suggested. I got a reply around six weeks later that said while they sympathized with me, Walmart stores were not obliged to price match online prices. They also stood by the managers' assertions that Walmart.com and Walmart brick & mortar stores were separate entities (I understand this from a corporate organization perspective, but from a customer's point of view its fucking dumb). I haven't shopped at Walmart since, just on the principle of the matter. Fuck you, Walmart.
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edit - just thought of another Walmart story; this one is about their return policy instead of their price match policy though. One of my coworkers is married to a guy who's just a complete skidmark. They're high school sweethearts who got married young; she went on to a graduate degree and pulls in nearly $100k a year in salary. Her husband, on the other hand, barely made it out of high school and is habitually unemployed. He proudly tells people that one of his pastimes / money making ventures is to exploit the shit out of Walmart's return policy. He visits garage sales and flea markets to buy used items that are still in their original box - things like work boots, tents, blenders, etc. He looks the item up online to make sure that it's something Walmart stocks, then exploits Walmart's no-receipt return policy. He just tells them he bought the items within the last 90 days, paid cash but lost his receipt. Their no-receipt return policy is to issue gift cards or offer exchanges for a brand new item, even for returns with significant and visible wear (he once returned a 2 year old pair of workboots that he'd worn the soles out on and they gave him a brand new pair). Real classy guy...