When that player signs the CHL contract he is signing up to play in a "pro" league. Doesn't matter if he hasn't received an NHL contract himself yet. It's a little more fuzzy than that of course, but they have to draw a firm line and that's where they chose to put it. When he switches to the USHL he is playing in a league designated as amateur by the NCAA.
So was he pro but now amateur? No really familiar with the intimate details here. Is it a ban for life, or would the player mitigate the damage by switching out? Maybe they just prevent him from playing in games for a year, which most serious prospect wouldn't stand for. If its a life ban why switch out of the CHL? Anyone know more specific rules or players that fit this situation?