(edited for clarity and typos)
No, modding them as a "not evil, neutral at best" playable empire, displaying symbolism that is legally banned in several European countries is.
(And with banned I don't mean an 18+ rating. They're illegal, period.)
Who said anything about modding them as "not evil"? The whole point of modding them into the game is to create a "what if?" scenario that pits the player up against the
ideals of the Nazi empire.
If said empire had come out of WWII either victorious or at the least forced a draw. Many good alternative history writers have explored such scenarios in books and there is nothing wrong with that. None of these authors are pining for a "Reich" that could have been, just simply plotting out what might have been if certain pivotal moments in history had gone the other way. Do a little historical research. You will be surprised at how many pivotal moments there were during WWII where Germany could have won at least a draw that would have allowed them to continue to exist to this day.
One such moment came when Hitler survived the bomb that von Stauffenberg planted for him at his headquarters in Rastenberg, If this coup (the July Plot) had succeeded, then not only would saner people have taken over the government of Germany, but the core beliefs of the german people would have been shaken. Germany would still have been an "evil empire" but without the insane Hitler running the show, a completely different outcome to WWII would have been achieved. This is just ONE of the possible divergences that could result in a Nazi Earth Empire.
As for the displaying nazi symbolism being "legally banned in several European countries", I find this deplorable. I can understand banning the overt display of Nazi symbols by neo-nazi movements to an extent, but I still think it is wrong. Trying to sweep the problem under the rug like that just forces the more disturbed elements of society underground where they will thrive as a counterculture. This makes them more appealing to the disenfranchised and given enough time creates a bigger problem. It's better (IMHO) to allow total free speech in the idea that letting the neo-nazis parade openly is a much better way of discrediting them. One can never stamp out evil & stupidity completely, but covering it up only allows it to build in strength. There is a reason behind the saying "those who choose to forget history are doomed to repeat it".
If you need an example of such, look at modern day Japan. The average student over there is taught a very one-sided view of WWII. No mention of japan's war crimes such as the Rape of Nanking or the Bataan Death March can be found in the curriculum and there are many revisionist books written in Japan that either claim these atrocities never happened or are blown out of proportion. Hell, even the movie "Pearl Harbor" was edited so much when it was released in Japan that the only combat scenes left were the ones taking place in Europe! There is a whole generation of Japanese that are being taught that the Allies just decided to beat the crap out of Japan for no good reason. I find this much more deplorable than someone wanting to create a mod about an evil human empire based on the nazis.
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