As stated in the Turms Your Way documentation,
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"Note that 'Stock' type emblems will no longer work with this mod enabled."
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If you have enabled the Turms Your Way Mod or any "mod pack" that includes it, you can no longer use any of the stock emblems that came with the game, or any other emblems made to the same stock specs. If you are going to put an emblem on your tower it must be one that works with the TYW mod - which means either you or someone else designed it per the instructions and using the templates that come with TYW.
If you select one of the "stock" type emblems it will not display properly while TYW is enabled. Ideally, before enabling TYW all non-TYW emblems should be removed from your Emblems folder (and backed up elsewhere) and replaced only with emblems designed by another modder or yourself to work with Turms Your Way.