Thanks for posting the photo Lauri. Although that particular patch isn't specifically mentioned, this unofficial embellishment of uniforms at the KLV camps seems to have been a problem. This is shown by two orders dated May and December 1942 respectively that mention various transgressions:
Unofficial armbands
Unofficial badges
The wearing of two district triangles (one showing the wearer's original Obergebiet/Gebiet and the other showing the Obergebiet/Gebiet in which the KLV was located)
Some leaders below Fähnleinführer wearing the metal eagle and Litze on the DJ cap.
It's possible that these boys were told to remove those patches/stitching at some point