Pilots logging practice is problem
The problem is that the pilots are logging the time in the Duty Flt records etc as a practice approach. As i said in original post you can do what ever you want and most do. Problem is how you document it and if you are not using hood etc, why document it in the first place.
The FAA Inspector will just take the paperwork for what it states, i.e practice app , sim app, inst app. Pilot would have to prove he was flying with due care and attention as to what was going on outside the aircraft, see and avoid etc, lawyers would have a field day.
For FAA its simple.. paper work says you did a practice approach or sim inst. Then he looks to see if you met the requirements to do such. If you don't, oh well,,, there is no gray for FAA, just Black or White.