Here is the response from an IDNR fisheries biologist:
The two most common fish parasites are the ones known as blackspot and yellow grubs. My guess is that she's seeing channel catfish with yellow grubs. The fillets are still safe to eat, although if the meat is bloody and infected around the parasite, I would advise not eating the meat. Blackspot appears as black spots on the skin and fins, and the meat appears to be peppered. This is caused by the black grub, an immature fluke. The yellow grub appears as cysts in the muscle tissue. The yellow grub adult lives in the mouth of herons and requires a snail of the genus Helisoma as an intermediate host. Fish are infected when they eat the snail. It is alright to return the fish to the water. I would suggest that she Google these parasites on the internet to confirm their identity. If it doesn't match, it may be something else.