Without the full info on this there are a lot of 'ifs' etc. But my general concern on this is that a ATCO could be working a A/C in similar situation
and the pilot may be under the impression of being in receipt of PS and the ATCO decides to ask the pilot what service he wants because he has a separation problem(hoping he says BS) and some pilots may feel pressured to take a BS , when the situation really indicates that a PS would be the best protection for the pilot. I feel the ATCO could be on a sticky wicket as regards to duty of care.
Bross - no argument with SRG approved procedures and as you say it does not say in was in the hold, but is also does not say he was not. The "blank looks" between the crew statement set off the alarm bells if you know what i mean.
Bookworm - maybe you could shed some more light on what you thought you were getting and what caused the blank looks.