Ok, let's do this step by step:
Jenny plays and controls the kraken.
Bob plays and controls conf-A and as a result, controls the kraken.
Jenny plays and controls conf-B and as a result, controls conf-A, and as a result, controls the kraken.
Bob plays and controls conf-C and as a result, controls conf-B, and as a result, controls conf-A, and as a result, controls the kraken.
Jenny plays Aura Graft, gaining control of conf-A with the graft AND gaining control of conf-C with conf-A. Jenny now controls the tidal kraken, that has no conficates on it, and all 3 conficates that enchant each other in a triangle. They still have legal targets, as all 3 are enchanting permanents. Destroying one would kill all of them though.
Hmm, if those confiscates were lesbians, we were up for a nice treat
