Originally Posted by TWINKEYRUNAWAY
However in game, the shadows for the collar caused a very distracting glow/brightness.
I'm not the most credible source - in fact I'm hardly a source at all - but it may be a graphics card issue. I used to run KotOR with a NVIDIA Graphics Card, and the graphics looked fine. But after switching to Intel, the graphics changed radically. Textures sporadically appeared and disappeared on Dantooine, the metals got strikingly shinier, and above all else, a lot of glows from equipment. You'll need more than just one person to verify this though. Best of luck fixing your issue man!