They are proposing an algorithm to solve the travelling salesman problem and this algorithm in essence fixes a set of boolean variables of the form visit city X in step Y. They are however using linear programming which has an efficient algorithm but only constraints the variables to be between 0 and 1, not to be either 0 or 1. With variables constraint to 0 and 1 only one gets integer linear programming which is NP-hard. Nonetheless they claim that their algorithm can solve the travelling salesman problem with a polynomial number of linear constraints and offer $10,000 for a problem instance that can not be solved. Essentially the claim is that they have developed a set of constraints that ensures that the optimum is always at 0 or 1 and never somewhere in between. The claim is almost certainly wrong and it should not be too hard to find a counter example and claim the money.