What I find hysterical and amazing is that Apple rejected the GL Boobie shaker app... but allowed this.
Polygon boobies in a swimsuit that jiggle when you move the iPhone (and that's ALL it does) is too risque? Wow.
Going by the average sexual orientation of males who hang out at the Apple stores, I would say most of them would find jiggling boobies to be offensive. That may be (most likely) why it was banned.
This is just another form of DRM - some way for a company to tell people how they can and can't use property they own.