A good firend of mine has a similar story. It was common practice to use initials as names (for instance Harry S Truman), and his grandfathers name was R.B. Koch. When he was being processed through basic training, this happened:

NCO: Name?
Grandfather: R.B. Koch.
NCO: No initials. Name?
Grandfather: The initials are my name. I'm R.B. Koch.
NCO: The inital stands for something. What's your name?
Grandfather: It doesn't stand for something. It's R. only B. only Koch.

The story goes that from that day on he was called Ronly Bonly Koch.