Ran into the same bug, although mine is a potentially more irritating circumstance; I actually captured the insane character who is now king when he was just the heir, and let him go because I figured he'd do more damage alive than dead (he had, at the time, one characteristic: 2 or 3 loyalty). So when he became king, I was rather startled at his insane authority score.
I'll post the screenshots in the next post, as apparently you're not allowed to post links in your first post.
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