Now that we know who the top 24 “American Idol 7″ finalists are, it’s time for the rumors to start flying. Case in point — Carly Smithson, who (when she was known as Carly Hennessy) already had an album/record deal with a major record label (see the music video above for her song “I’m Gonna Blow Your Mind” from her Ulimate High album).

See, people are in an uproar because “American Idol” has historically been more about finding undiscovered talent than a competition of professional singers. And in this case, Idol hasn’t even mentioned Carly Smithson/Hennessy’s past semi-fame in the music industry during her background pieces.

Carly Hennessy toured Europe as Cosette in “Les Misérables” when she was a kid, had an album in Ireland called “Carly’s Christmas Album” and was signed with MCA Records as a teenager. Her album Ultimate High was released seven years ago, and despite MCA putting $2.2 million into the project, it suffered abysmal sales of just several hundred (378, to be exact).

Given her professional background (and attempt and failure at an album), how will she fare on American Idol?