Seems like it's just found a string that gets ignored by the PHP album filters, but not by the database. So it's creating records for all these albums even though they do not exist.
It's not SQL-injection per se as nothing malicious is being inserted (this is normal Zenphoto operation, but with a bug that allows more "albums" to be created in the database), but it's still a problem due to the large amounts of data that take up space, etc.
We just need to improve the filtering code to handle cases like this. It may be that it's simply ignoring UTF-16 characters in the PHP string but passing them on to the database. Could be anything, but with these test cases it shouldn't be too hard to filter out.