Yep, i mentioned this about a year ago in one of the dozen arguments about ugrading. This "oh we only ugrade cut cards or beaters" argument is nonsense. Like you say, if i have a mint VC Jawa moc and i want it Ugraded by UKG all i need to do is cut the top off and send it off.
AFA on the other hand Ugrade anything in any condition. They wouldn't think twice with popping a DT Ben out of his bubble.
U Grade = a toy untouched by human hands since it was made until we decided to rip it off it's card and Ugrade it.