Then call it something else with no mention of Tezos. Don't ride on the Tezos bandwagon. It is dishonest. Like you said, you are not in any way part of Tezos.
I agree with that. Since they are claiming that they're not part of Tezos, then, think of their own name instead.
Using Tezos coined to something else is like riding with their popularity.
I understand what they are aiming for or what they are pointing at. But if they don't like the Tezos' project, then, create something new.
But in the current scenario in crypto, that's one way of marketing their project. Remember e-tokens using famous altcoins as part of their ticker? You can't prevent them from using such names unless you have the trademark for that or some sort of legalities here will play.
This is not a scam as they are not compulsory asking money from the community but asking donations instead.
If the community really likes this project, then, maybe they can collect sufficient money to start with.