Head chain bug?
I've been using the preset chain XXXII, turning it red and then going into ATR double click to make settings. I set the chain for a CC and can enter everything as normal. The head chain chase light goes yellow to indicate that a CC is being transmitted, however the tail chains have a red chase light as if no CC is being sent out, although it is. If I enter the CC on individual tracks then chain, the chase light is yellow on every track.
I take your point regarding the CC signalling with regard to the Track Base Switch, however the same is true of other attributes when using the chain head track to control the 'members', for example, in the situation you present zooming into a 'member' track you will see the PIT attribute of the track does not change its shown value (when the Track Base Switch is red) - even though the track is taking its PIT from the head track.
Logically, the 'member' tracks are sending step offset values to the to the head chain chosen MCC.