"LE" never stood for "Limited Edition", it stood for "Light Edition" because it was slower than the regular versions. That's hardly deceptive. In late 2000/early 2001, many people on this board and other boards were getting the Radeon LE because it was just a Radeon 32mb DDR de-clocked to 150/150, and could usually clear 190/190 with overclocking. The success of the Radeon LE was the reason ATi created the Radeon 8500LE.
As for 8500 vs. 9000, when ATi went to numbering its products then did create a bit of confusion. The R200 was the 8th generation of graphics card, so it was given the 8xxx numbering. The R100 and RV100 were the 7th generation, so they were given 7xxx numbers. The RV200 was based on the R100 but shrunk from .18 micron to .15 micron, so they numbered it into the 7th generation of cards.
The R300 was the 9th generation of ATi core so it was given 9xxx numbers, and the RV250 was the budget version in that 9th generation. While the RV250 more closely resembles the R200, I think the changes to it (Fullstream support, different number of texture units per pipeline) made it more than just a rebadged R200, so it was given the 9000 number.
With the introduction of the Radeon 9000 (which the Radeon 8500 generally outperformed), ATi discontinued the Radeon 8500 series because the RV250 core is much cheaper to make than the R200 core, and it didn't want the Radeon 8500 cutting in on Radeon 9000 sales. ATi's partners most likely requested that ATi re-introduce the R200 because it was a good seller for them, so ATi added Fullstream and gave it the 9100 number to show its speed in relation to the 9000.
And while we're at it, "VE" stands for "Value Edition". No deception there either.