Oh, Cela.. I feel for your daughter. A couple thoughts/suggestions:
1) Given that the baby has no thrush in the mouth, and that none of the traditional treatments seem to be working, I am wondering if the lactation consultant confirmed that it IS in fact thrush? I was treated for thrush for several months, as diagnosed by my well-meaning pediatrician, and it turned out it was dermatitis from a nipple shield and pumping. What I needed was not nystatin but a topical steroid to heal up. Your daughter might want to consider "Jack Newman's Nipple Ointment" if she can get someone to write the prescriptions (search that term on the internet for the ingredients). It's sort of a "kill-all" that is also used for persistent diaper rashes in babies that doesn't care WHAT is causing the problem, but more to ELIMINATE it. It uses two anti-fungals (thrush), a topical antibiotic and a steroid. Contrary to what you'll read, you don't actually need a compounding pharmacy, but need prescriptions for the non-OTC meds and you can combine in a sterile container and mix yourself.
-- The purple stuff that DoeEyes referred to is called Gentian Violet. It can be tough to find sometimes, but may be as close as the pharmacy next door. It's usually kept over by the iodine in the same sort of container. I've heard lately that there are some issues with whether it is still being recommended for thrush and I haven't gotten into this to figure out why, but I've been personally told by an LC that if GV doesn't kill it, it isn't thrush. I used it for several weeks and it isn't as awful as people make it out to be. If you do get it, look for 1%,not 2%, as both are sold. I know that good neighbor pharmacy products has a formulation of it, so if you can find an affiliated pharmacy near you (independent pharmacies, usually), you can see if they carry it.
-- Never put rubbing alcohol on a breast. It is toxic to the baby and drying to the skin.. it will increase the problems. I wouldn't recommend peroxide either. To my knowledge, breastmilk on breast or in a baby's mouth will not become contaminated. Breastmilk is actually a natural antibacterial.
-- Search "Jack Newman Thrush" for lots more good info. In my experience, he is the definitive expert on thrush in breastfeeding women.
If your daughter wants to email me through my bio page at breastfeeding.bellaonline.com, with more specific info, I'd be happy to see if I can provide more resources or insight. Thrush is the worst... she is a champ and deserves a medal for perservering! Good for her and good for her baby!